Blockchain Giants Bet Big as Tokenized Assets Surge Toward Mainstream Finance

Tokenized assets have experienced a dramatic surge in total value locked (TVL), reaching $29 billion, as real-world asset (RWA) tokenization continues to gain traction in the blockchain and institutional finance sectors. The growth is driven by increasing interest from large asset managers and investment firms exploring tokenized funds and digital asset treasuries (DATs). These developments signal a maturing market where tokenized assets are being integrated into traditional financial infrastructure at an accelerating pace.

One of the leading blockchain platforms facilitating this transition is Avalanche, whose native token AVAX has recently seen a 10% increase in value, reaching $29.11 within a 24-hour period. This uptick reflects broader institutional confidence in the platform's ability to support programmable and transparent financial products. Notably, major asset managers such as BlackRock, Apollo, and Wellington Asset Management are actively testing Avalanche’s infrastructure for tokenized fund offerings. These experiments aim to leverage the blockchain’s scalability and efficiency to create next-generation financial instruments.

Avalanche's efforts to integrate with traditional finance are also expanding through the creation of crypto treasury firms. The Avalanche Foundation is currently finalizing two separate deals—each worth up to $500 million—to establish these entities in the U.S. The first involves a private investment in a Nasdaq-listed company, led by Hivemind Capital with advisory support from Anthony Scaramucci’s SkyBridge Capital. The second deal is being structured through a SPAC sponsored by Dragonfly Capital. Both transactions are expected to close by the end of 2025 and will provide liquidity by allowing the treasury firms to acquire AVAX tokens at discounted rates.

The rise of DATs is part of a broader trend in which corporations and institutional investors are reconfiguring their balance sheets to include digital assets. This strategy is often executed through reverse mergers or new entity formations, as seen in the case of Nasdaq-listed Asset Entities (ASST), which is merging with Strive Enterprises to become a bitcoin-focused treasury company. These developments highlight how tokenized assets and digital treasuries are becoming essential tools for portfolio diversification and long-term wealth management.

The Avalanche Foundation’s initiative is not just about capital raising but also about strengthening the blockchain’s ecosystem and market credibility. By distributing AVAX tokens to treasury firms at favorable terms, the foundation is enhancing token liquidity and incentivizing broader adoption. The involvement of well-established investment firms and asset managers further validates Avalanche’s role in bridging the gap between traditional and digital finance. As more companies explore tokenized assets for their corporate treasuries, platforms like Avalanche are positioning themselves as key enablers in the transition toward a more programmable and efficient financial system.