Avalanche Treasury Corp told the SEC its ability to continue as a going concern is in doubt after its Nasdaq-listed stock lost 93% of its value in a month, with its AVAX position now worth less than half of what it paid.
Avalanche Treasury Corp, the largest publicly traded company holding AVAX as a corporate treasury asset, told regulators its ability to continue as a going concern is in doubt after its stock collapsed 93% over the past month.
The Nasdaq-listed company, ticker AVAT, disclosed the warning in a 10-Q filing with the SEC, stating that “substantial doubt about the Company’s ability to continue as a going concern is not alleviated.” Shares traded above $10 at the start of June, closed at $1.85 on June 11 following its Nasdaq debut, and fell into penny-stock territory below $0.73 by June 29, wiping out 93% of their value in a month.
AVAT Price. Source: Yahoo
AVAX Bet Underwater
AVAT built its position by merging with blank-check company Mountain Lake Acquisition Corp in a deal that closed with its Nasdaq listing on June 11, part of a plan announced last October to build what the company called a $1 billion pile of AVAX tokens. The company paid roughly $265 million to acquire its AVAX, but the position was worth about $123 million by the end of March, more than half underwater. AVAX has lost 47% of its value year to date and traded near $6.72 on Wednesday, per CoinGecko.
The operating subsidiary lost more than $26 million in the first quarter, almost entirely a fair-value writedown on its AVAX holdings. AVAT has pledged roughly 7.8 million of its 13.8 million AVAX as collateral on a loan, leaving a smaller unencumbered buffer against further price declines. Its market capitalization has fallen to less than $30 million, according to Yahoo Finance.
Treasury Model Under Strain
AVAT’s collapse adds to a string of digital-asset treasury companies that have cratered since a wave of similar vehicles launched in 2025. AgriFORCE Growing Systems rebranded as AVAX One last September with plans to raise $550 million to buy more than $700 million of AVAX; its market value has since fallen to about $43 million, down 68% year to date.
The Defiant reported in June that even Strategy, the largest and longest-running Bitcoin treasury company, saw its enterprise mNAV drop below 1 for the first time, and covered StablecoinX’s Nasdaq debut as the first public ENA treasury vehicle, part of the same corporate-treasury trend now facing pressure across multiple tokens.
Avalanche Foundation and Ava Labs, the core organization behind the Avalanche network, have made no public statement on AVAT’s going-concern disclosure or its stock decline as of publication.
Bitcoin could face further downside pressure after ending June below its 200-week moving average but above its realized price, a combination that crypto analyst PlanB says suggests the market has yet to reach a bear market bottom.
Bitcoin fell 20.5% in June to close the month at $58,526 — its worst monthly performance since June 2022 — below its 200-week moving average of $62,000 but above its realized price of $52,000.
“ALL previous bear market bottoms were below realized price,” said PlanB, the creator of the stock-to-flow pricing model, on Wednesday, adding in a separate post that Bitcoin could drop to $52,000.
The price move would mean Bitcoin falling about 60% from its all-time high of $126,000 in October. The dip could be even deeper, as previous bear markets have seen Bitcoin fall even further, such as 83% in 2018 and 76% in 2022.
BTC is undervalued but can still go lower
“Right now, price is much lower than value and indeed might go lower from here (below realized),” PlanB said. “So, Bitcoin is undervalued but can still go lower.”
BTC is trading between the 200-week moving average and the realized price. Source: PlanB
Bitcoin’s realized price is the aggregate cost basis of all coins in circulation, calculated by valuing each unspent transaction output (UTXO) at the price when it last moved on-chain. It represents the average price at which holders acquired their coins, serving as a key onchain metric for support levels during bear markets.
Related: Bitcoin bounces off 21-month low, but leverage data signals caution: Was $57K the bottom?
Andri Fauzan Adziima, research lead at Bitrue Research Institute, told Cointelegraph that the June close above realized price but below the 200-week moving average “signals the bear bottom is still ahead per prior cycles.”
“I’m eyeing late-2026 capitulation there before the next leg up, though shallower this cycle due to institutions,” he said.
Lacie Zhang, research analyst at Bitget Wallet, told Cointelegraph that the current consolidation near $60,000 is “approaching a potential bottom zone, with strong historical and technical support likely forming around the $55,000 level if further downside occurs.”
Midterm year market bottom
ITC Crypto founder Benjamin Cowen also speculated there could be a cycle bottom for Bitcoin this year, given it is a US midterm election year. This has previously coincided with bear market bottoms in 2018 and 2022.
“The second half of midterm years usually marks the accumulation zone/market cycle bottom,” he said.
The US midterms are scheduled for Nov. 3, when all House of Representatives seats and about a third of Senate seats are up for election.
Magazine: Bitcoin slides to $58K, XRP hits $1 but onchain data promising: Market Moves
FBI Director Kash Patel failed to timely disclose a six-figure purchase of stock in Strategy (MSTR), the world’s largest publicly-listed bitcoin holder, according to a report by nonpartisan news outlet NOTUS.
Patel supposedly purchased between $100,001 and $250,000 worth of MSTR on Nov. 21, but did not report the trade to regulators until May 26.
The reason for the delay? miscommunication. Patel informed the Office of Government Ethics that he “inadvertently omitted” the transaction due to an unspecified “miscommunication.”
According to the Stop Trading on Congressional Knowledge (STOCK) Act, high-ranking executive branch officials need to publicly disclose individual stock trades over $1,000 within 45 days from the transaction.
The trade has drawn intense scrutiny from government watchdogs due to Strategy’s BTC accumulation business and its previous business with federal agencies.
The company, which according to NOTUS has done millions of dollars in business over the years with the Justice Department, calls itself as a “Bitcoin Treasury Company,” and aggressively accumulates BTC as its primary reserve asset. Since 2020, the company has built a coin stash of 847,363 BTC, worth over $50 billion as of this writing.
A new installment of Chain of Thought, the Brownstone Research newsletter written by Ben Lilly, argues that the battle over open-source artificial intelligence is following the same path Bitcoin walked a decade ago, and that investors who recognize the pattern stand to profit.
The note opens with testimony that Anthropic CEO Dario Amodei gave to Congress in July 2023. Amodei acknowledged that open source is “a good thing” in most scientific fields and that the risks of open models released so far were “relatively limited,” but he warned that the scaling of open-source models was heading “down a very dangerous path.”
Lilly reads the subtext plainly: if open models are dangerous, then the closed models sold by companies like Anthropic are the safe choice — and the policy that follows is to restrict the open and elevate the closed.
Bitcoin’s early skeptics mirror what AI is facing
That framing is one digital-asset investors know well.
He revisits Bitcoin’s early skeptics, from Rep. Jared Polis buying the first Bitcoin on Capitol Hill in 2014 to Sen. Joe Manchin’s call to ban a “dangerous currency,” through the 2023 accusations that regulators tried to cut crypto off from the banking system in what critics dubbed “Operation Choke Point 2.0.”
The industry survived, he notes, and Washington is now moving toward clearer rules through the passed GENIUS Act and the pending CLARITY Act.
Decentralized AI, which Lilly calls “DeAI,” is having that same fight now. He points to recent developments as evidence the walls are going up: a U.S. export ban on Anthropic’s latest release, which he says will push the company toward permissioned access that verifies a user’s identity before granting a model, and OpenAI’s decision to restrict its GPT-5.6 rollout to trusted partners.
He expects identity requirements to spread. “It’s for your protection, you see,” he writes. “It always is.”
The note leans on a national-security anecdote to explain the fear driving these moves. Lilly cites NSA chief Joshua Rudd, by way of Sen. Mark Warner, describing how Anthropic’s “Mythos” model broke into “almost all of our classified system, not in weeks, but in hours.”
Yet open source is closing the gap, according to the piece. Lilly says the recent GLM-5.2 scored on par with Anthropic’s Sonnet 4.6 from February, leaving open models roughly three to four months behind the frontier, and predicts an open rival to Mythos and GPT-5.6 by fall.
He argues the bigger unlock is decentralized training on peer-to-peer networks that mirror Bitcoin and Ethereum — swapping compute-for-network-security for compute-for-model-training. Distributed training, he notes, has grown from sub-1-billion parameters to 100 billion in two years.
He names three early projects — Dark Bloom, which enables low-cost private inference on idle Macs; c0mpute, a decentralized inference network; and Pluralis, which trains AI across distributed consumer GPUs — and expects more to launch tokens and reward users for contributing compute.
The note ends with the notion that governments will try to ban open models and they will fail. For him, investing in the space “will be like buying Bitcoin in 2014, back when it was still ‘dangerous.’”
A new independent non-profit, Ethereum Institutional, has launched with the goal of accelerating institutional adoption of Ethereum, its layer-2 networks and the broader ecosystem.
The organization is led by David Walsh, Marius Smith and Matthew Dawson. Walsh previously led the Ethereum Foundation’s enterprise efforts, while the organization said its leadership brings experience spanning institutional engagement, capital markets and Ethereum ecosystem development. It said its mission is to provide institutions with a neutral, independent point of contact as they evaluate Ethereum for tokenization, stablecoins and other onchain financial infrastructure.
In announcing the initiative on X, Ethereum Institutional said institutions need “a credible, independent front door” to the Ethereum ecosystem. While Ethereum’s neutrality is one of its defining strengths, the group argued, that neutrality has often left enterprises without a clear organization to engage as they make long-term infrastructure decisions.
The launch comes as the Ethereum Foundation continues to narrow its role to stewarding the core protocol, with ecosystem participants increasingly spinning up independent organizations focused on specific areas such as business development, institutional outreach and developer support. The shift follows broader changes at the foundation, including leadership restructuring and longstanding community calls for greater transparency.
Investment bank Standard Chartered has initiated coverage of Morpho, calling the lending protocol a dual-play on decentralized finance (DeFi) that combines a lending market with infrastructure for onchain banks and asset managers.
The bank has a $60 price target for MORPHO by the end of 2030, implying roughly 33x upside from its current price. This would see the token outperform both bitcoin BTC$60,299.90 and ether (ETH) over the same period.
MORPHO was more than 13% higher over 24 hours, trading around $2.13 at publication time.
“Given its status as one of the largest DeFi lending protocols and its comfortable financial position (it just raised $175 million in VC funding), we think Morpho can scale to meet the expanding base of assets deployed in DeFi,” wrote Geoff Kendrick,head of digital assets research at Standard Chartered, in the Wednesday report.
Decentralized finance has rebounded sharply over the past year as institutional interest in tokenized real-world assets and onchain lending accelerated. Lending protocols have benefited from rising stablecoin adoption and renewed demand for crypto credit, while infrastructure providers that enable asset managers and financial institutions to deploy capital onchain have emerged as one of the sector’s fastest-growing segments.
Cryptocurrency ATMs are fast disappearing from the American landscape as kiosk operators in two US states face bans and restrictions as new laws go into effect.
Crypto ATM laws passed by Tennessee and Georgia went into effect on Wednesday, imposing a complete ban in the former and requiring transaction limits and reporting in the latter. The measures by the two states followed bans in Indiana, which went into effect in March, and Minnesota, set to enforce an ATM ban on Aug. 1.
The Tennessee law, signed by Governor Bill Lee in April, bans the use and installation of cryptocurrency ATMs and kiosks, while the Georgia law requires that ATM operators cap money sent for new and existing users, issue warnings to customers and in some cases refund those who may have been the victims of fraud.
There were 185 crypto ATMs and kiosks operating in Tennessee before the statewide ban took effect on July 1. Source: CoinATMRadar
Many US state governments and municipalities have individually begun cracking down on crypto ATM operators in response to incidents of residents, particularly senior citizens, being conned into sending funds to scammers. Delaware and New Jersey lawmakers have proposed similar measures completely banning the machines.
Related: Massachusetts city to weigh crypto ATM ban, citing financial risks
The restrictions may have already contributed to at least one ATM operator going under. In May, Bitcoin Depot filed for Chapter 11 bankruptcy. The company had disclosed just days before that it had “substantial doubts” about its future amid a challenging regulatory environment and lawsuits.
“Bitcoin Depot’s bankruptcy is likely a preview of what the broader crypto ATM industry will face in the US over the next several years,” Roshan Dharia, CEO of Echo Base and a restructuring adviser, told Cointelegraph following the Chapter 11 filing. “The traditional model depended on high transaction spreads and limited regulatory scrutiny to offset unusually high compliance, cash logistics, fraud remediation, and retail revenue sharing costs. That equation is breaking down as states increasingly impose consumer protection standards that compress fees, expand operator liability for scam related activity, and raise expectations around transaction monitoring and reimbursement.”
Canada weighs countrywide ATM ban
Although not in effect yet, federal policymakers in Canada proposed a total ban on crypto ATMs across the country. The proposed policy, which would still allow Canadians to buy digital assets from brick-and-mortar money services businesses, was in response to what officials called the ATMs being the “primary method for scammers to defraud victims and for criminals to place their cash proceeds of crime.”
Magazine: Bitcoin slides to $58K, XRP hits $1 but onchain data promising: Market Moves
Bitcoin price climbed above $60,000 on Wednesday, a level the asset had ceded during the last couple weeks of turbulence, after Federal Reserve Chair Kevin Warsh told a central bank forum that the threat of persistent inflation had moderated.
The cryptocurrency traded near $60,171 this afternoon, a gain of about 2.7% on the day, with a 24-hour high of $60,474 and a low of $57,718. Trading volume for the session reached $26.68 billion.
Warsh, in remarks at the European Central Bank forum in Sintra, Portugal, said inflation expectations in surveys and bond prices had eased. He paired the observation with a warning that price growth remains too elevated and that the Fed will not accept inflation above its 2 percent target.
“We’re going to deliver price stability,” Warsh said.
Markets read the balance as a tilt toward relief. Bitcoin advanced as U.S. stocks rose and the dollar retreated from a weekly high. A softer dollar tends to lift demand for Bitcoin and other risk assets.
The move offered a reprieve in a hard year. Bitcoin sits about 30% below where it started 2026 and more than $66,000 under its record of $126,277, a slide that has kept the bear-market label in view. Its market value stands near $1.2 trillion.
Strategy (MSTR) and Strive (ASST) jump over 10% at times in intraday trading
Bitcoin treasury companies posted sharper gains. Strategy, the software firm turned Bitcoin holder under Michael Saylor, rose close to 7.5% on the day — with highs of 13% during the day. Strive jumped more than 10% at times to $12.02.
Both trade as leveraged proxies for Bitcoin, and their swings tend to exceed those of the coin. Strive has spent 2026 building a treasury that now tops 16,000 BTC, and the stock has climbed more than 100% across three months.
Earlier this week, Strategy released a new Digital Credit Capital Framework that raised the dividend on its STRC preferred shares to 12%, authorized up to $2 billion in share buybacks, and created a bitcoin monetization program allowing limited BTC sales for specific corporate purposes.
The company also established a $2.55 billion U.S. dollar reserve to cover preferred dividends and debt interest, with board rules requiring at least 12 months of coverage at all times. Strategy said any bitcoin sales would be limited to replenishing reserves, funding dividends and interest when preferable to issuing equity, or financing stock buybacks, while reaffirming bitcoin as its primary treasury asset.
Theo has invested $20 million in Fidelity International’s USD Digital Liquidity Fund through Sygnum Bank, adding FILQ to its onchain Treasury product thBILL.
The move makes Theo the first crypto-native platform to access Fidelity International’s tokenized fund offering.
Theo has invested US$20 million in Fidelity International’s USD Digital Liquidity Fund. With this investment, the onchain capital markets platform becomes the first crypto-native investor in the asset manager’s tokenized fund offering.
The investment was executed through Sygnum Bank and supported by Chainlink’s data and orchestration standards.
The move adds Fidelity International’s FILQ fund to Theo’s institutional tokenized Treasury product, thBILL.
This also expands the product beyondits existing exposure to ULTRA, a tokenized Treasury strategy managed by Wellington Management and FundBridge Capital and tokenized by Libeara.
FILQ is Fidelity International’s first tokenized product and is built on Sygnum’s Desygnate platform. The fund gives professional and institutional investors exposure to yield from regulated, highly rated government securities while keeping the instrument usable across onchain workflows.
The fund received an Aaa-mf rating from Moody’s.
Sygnum said Moody’s described the product as having “a very strong ability” to meet its objectives of capital preservation and high liquidity. The product is intended for professional and institutional investors through Sygnum and is subject to regulatory requirements in selected jurisdictions.
The integration matters because tokenized Treasury products are moving from proof-of-concept experiments into a more competitive institutional market.
Tokenized U.S. Treasury products now represent a multi-billion-dollar category, covering Treasury bills, bonds and Treasury-focused money market funds. RWA.xyz data shows $14.6 billion in distributed value across 84 tokenized Treasury assets, with 63,994 holders till July 1 2026.
RWA.xyz data shows $14.6 billion in distributed value across 84 tokenized Treasury assets, with 63,994 holders till July 1 2026. Image Source: RWA.xyz
For crypto-native firms, the appeal is straightforward.
Stablecoins offer instant settlement and broad onchain utility, but they generally do not pass yield to holders. FILQ is positioned differently: it combines money-market-fund-like yield exposure with the programmability and 24/7 usability expected in digital asset markets.
That is the gap Theo is trying to fill with thBILL.
By holding FILQ inside thBILL, Theo makes a traditional liquidity fund usable in onchain treasury, collateral, reporting and liquidity workflows. The aim is not just to tokenize fund units, but to make them functional inside crypto-native market structure.
Arijit Pingle, Co-CEO of Theo, said FILQ is “the strongest institutional foundation we’ve put under thBILL, and the first time a crypto-native platform has accessed Fidelity International’s tokenized fund offering.”
“The breadth of Fidelity International’s expertise across global fixed income makes this exactly the kind of institutional foundation our product was built for — accessible 24/7 onchain,” Pingle said.
The Fidelity allocation also gives Theo a second major asset-management relationship inside thBILL.
In December, Theo and Stable committed more than $100 million to ULTRA, a tokenized U.S. Treasury strategy managed by Wellington Management and FundBridge Capital. ULTRA uses Libeara’s tokenization infrastructure, while Standard Chartered provides custody for the underlying portfolio.
That makes thBILL a crypto-native Treasury product backed by exposure to funds linked to two large traditional asset managers.
The combination reflects a broader shift in tokenization: crypto firms are no longer only building synthetic yield products or lending pools. They are increasingly trying to plug regulated money-market and Treasury funds into digital asset rails.
Chainlink’s role is central to that design.
The company brings FILQ’s NAV and distribution data onchain through the Chainlink Runtime Environment. Sygnum’s earlier work with Fidelity International and Chainlink focused on bringing NAV data onchain for tokenized assets, a function the firms described as important for transparency, accessibility and historical data availability.
In the FILQ structure, J.P. Morgan provides daily NAV data that is received and approved before being made available onchain.
That data layer is important because tokenized funds need reliable pricing if they are to be used in collateral, treasury management and settlement workflows. Without trusted NAV data, the token may exist onchain but remain difficult to use in institutional risk systems.
Emma Pecenicic, Head of Digital Assets Distribution at Fidelity International, said tokenisation is “a foundational shift in how global financial markets will function.”
“By combining long-standing investment expertise with digital-native infrastructure, we are helping to enable regulated, institutional-grade liquidity on-chain for markets that operate around the clock, bringing new utility to onchain investors like Theo,” Pecenicic said.
The development comes as major financial institutions push deeper into blockchain-based settlement and tokenized funds.
J.P. Morgan, BlackRock, BNY and Franklin Templeton are among the large financial firms expanding work around tokenized funds, deposits and blockchain-based settlement. The U.S. Treasury market remains one of the largest and most systemically important markets globally, which is why tokenized Treasury products have become an early focus for institutional blockchain adoption.
Still, tokenization is not the same as liquidity.
A tokenized fund can offer faster settlement, better programmability and broader distribution, but its usefulness depends on investor access, regulatory permissions, pricing transparency and redemption mechanics.
Sygnum says FILQ supports 24/7 subscriptions and redemptions after onboarding, with near-instant settlement during market hours and liquidity facilities outside those hours, though transactions may be queued or subject to fees depending on conditions.
That distinction is important for institutions.
The market is moving toward always-on capital markets, but the underlying assets still sit inside regulated fund, custody and administration structures. The winners will likely be products that can combine blockchain settlement with institutional safeguards, rather than simply putting traditional assets onchain.
Fatmire Bekiri, Head of Tokenization at Sygnum, said the bank’s infrastructure was designed “to bridge institutional-grade assets and onchain markets.”
“Seeing FILQ back thBILL is a strong validation of the institutional-grade infrastructure emerging onchain,” Bekiri said.
The transaction gives thBILL a stronger claim to institutional-grade backing.
Moreover, it shows how tokenized Treasuries are becoming a bridge between crypto liquidity and traditional asset management — a space where Fidelity International, Wellington, Standard Chartered, Sygnum and Chainlink are now part of the same operating stack.
Johann Eid, Chief Business Officer at Chainlink Labs, said bringing secure NAV and distribution data onchain allows FILQ to be integrated into Theo’s thBILL workflows.
“We’re excited to accelerate the future where all the world’s value is tokenized onchain and powering 24/7 markets,” Eid said.
The above article “Theo Adds Fidelity’s FILQ to thBILL in Tokenized Treasury Push” was first published on AlexaBlockchain. Read the complete article here: https://alexablockchain.com/theo-adds-fidelitys-filq-to-thbill/
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Crédit Agricole (ACA), France’s second-largest bank by assets, unveiled a euro-pegged stablecoin, a rival to offerings from smaller peer Société Générale (GLE) and Circle Internet (CRCL) in a market that’s also targeted by Qivalis, a group of 37 European banks that plans to introduce its own contender later this year.
The coin, EURO eXchange Token (EURXT), is pegged 1:1 to the euro and complies with the European Union’s Markets in Crypto-Assets (MiCA) framework, according to a post on the website of its asset servicing unit, Caceis Bank, which is issuing the token. It has already been used to settle a subscription into a tokenized Amundi money market fund.
There are 20 million EURXT in circulation on Ethereum, backed 1:1 by euro reserves held by Caceis Bank. The compares with about 378 million of Circle’s EURC and 124 million of SocGen’s EURCV.
