Avalon labs Burns 80 Million AVL Tokens, Boosting Market Value
Avalon Labs has taken a bold step by burning 80 million AVL tokens. This action permanently removes the tokens from circulation, reducing the supply by about 44%. The move was announced on X on june 9, 2025.
Most of these tokens were unclaimed airdrops from a March 2024 campaign. Avalon sees this as the beginning of a “deflationary cycle,” aiming to align with long-term incentives. The company thanked its users, who have claimed $20 million in AVL over the past year.
Token burns decrease supply, potentially increasing scarcity and price.AVL’s price surged over 18% after the proclamation and became the top futures buy on Bybit.
Avalon Labs is a financial tech firm building Bitcoin-backed on-chain capital markets. It has disbursed over $1.2 billion in BTC-backed loans. Recently, it secured a $2 billion credit line from Asian conglomerates.
Avalon created usda, the first Bitcoin-backed stablecoin. Users can unlock liquidity without selling BTC. Its CeDeFi protocol offers yield-generating savings products.
Key developments include an investment from YZi Labs and exploring a Bitcoin-backed public debt fund under SEC oversight.
