As Web3 and blockchain-based financial innovations continue to grow rapidly, YZi Labs has announced its investment in Avalon Labs, one of the leading projects focused on Bitcoin infrastructure. This partnership aims to transform Bitcoin from merely a store of value into an active economic asset.
Avalon Labs is building an ecosystem centered on Bitcoin-backed financial products. The platform already offers a wide range of services, including BTC-collateralized stablecoins, lending solutions, interest-bearing savings accounts, and crypto-backed credit cards, delivering a comprehensive financial experience to its users.
Avalon Labs: Bringing Real-World Utility to Bitcoin
To date, Avalon has integrated over 20,000 BTC into its system and has surpassed 300,000 active users. The company’s flagship product, the Bitcoin-collateralized stablecoin USDa, is currently the second-largest CDP (Collateralized Debt Position) according to DeFiLlama. This stablecoin provides Bitcoin holders with access to liquidity, stability, and yield without the need to sell their assets, turning them from passive holders into active participants.
The platform’s total value locked (TVL) has now exceeded $500 million, clearly showcasing Avalon’s rapid ascent in the Bitcoin DeFi space.
Global Expansion Plans Fueled by New Capital
YZi Labs’ investment will significantly accelerate Avalon’s global growth strategy. With the new funds, the company plans to comply with regulations in various countries, obtain necessary licenses, and strengthen its legal infrastructure by partnering with international law firms. At the same time, its institutional lending infrastructure will be expanded to support Avalon’s vision of becoming the first fully regulated on-chain Bitcoin financial institution.
YZi Labs’ Investment Director Alex Odagiu emphasized that Avalon is one of the most promising projects built on strong fundamentals:
“Avalon is leveraging Bitcoin’s security and liquidity to build an integrated financial ecosystem. In doing so, it transforms Bitcoin from just digital gold into an active economic asset in global markets.”
— YZi Labs (@yzilabs) May 26, 2025
Avalon’s Vision: Making Bitcoin Accessible for All
Avalon Labs Co-Founder Venus Li stated that this investment reinforces their vision to make Bitcoin more accessible and usable:
“The crypto industry thrives on user growth and capital inflow. We’re not just targeting the existing market — we’re bringing in new participants and fresh capital. Bitcoin’s broad global acceptance gives us a unique opportunity to integrate it into everyday life.”
What Is Avalon Labs?
Avalon Labs offers a transparent, scalable, and accessible ecosystem of on-chain financial products built on Bitcoin. With services like BTC-backed lending, stablecoins, savings accounts, and credit cards, Avalon transforms Bitcoin from a passive asset into an active financial tool usable in the real world.
Avalon Labs (AVL) Price on the Rise!
Following the announcement of the investment, Avalon Labs’ native token AVL surged by 22.62%, jumping from $0.24 to $0.32 in a short period.
The backing of a strong investor like YZi Labs increased demand for the AVL token and boosted confidence in Avalon’s future expansion plans. As one of the standout Bitcoin-backed DeFi projects, this rally could attract even more attention to Avalon’s growing ecosystem.
This content does not constitute investment advice. The markets involve high risk and it is important that you do your own research before making any investment decisions.
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