Avalanche Treasury fell 16% on the first day of listing, putting pressure on the crypto asset vault concept

According to Twitter news, Avalanche Treasury Company was officially listed on NASDAQ under the code AVAT on Thursday, but it experienced a sell-off on the first day of trading. The stock price fell 16% from the opening session to close at $1.85.

The company completed the listing transaction through a merger with SPAC Mountain Lake Acquisition, with an overall transaction size of approximately US$675 million, and received support from institutions such as Dragonfly, Pantera, ParaFi Capital, VanEck, Galaxy Digital, and Kraken.

Avalanche Treasury holds approximately 15 million AVAX tokens and aims to provide investors with exposure to participate in the Avalanche ecosystem without directly holding coins. Company CEO Bart Smith said the strategy was not a direct bet on price, but rather a long-term investment in the potential for institutional financial restructuring.

Although the Avalanche ecosystem has attracted more than 550 projects and more than $1 billion in institutional funding since its launch in 2020, its native token, AVAX, has been under significant pressure recently, and the price has fallen back to a five-year low.

According to market data, AVAT's first-day performance continued the general trend of weak cryptographic digital asset vault (DAT) companies. Previously, relevant listed entities such as Strategy, Bitmine, and SOL Strategies all experienced significant pullbacks, reflecting continued valuation pressure on this type of asset in the crypto bear market environment.