YZi Labs Invests in Bitcoin Platform Avalon Labs
YZi Labs, a prominent venture capital firm with over $10 billion in assets, has invested in Avalon Labs. This Bitcoin-focused platform aims to enhance on-chain capital markets. The investment was announced on May 26, 2025, leading to a surge in Avalon’s token, AVL. it rose to nearly $0.29.
Avalon will use the funds to boost regulatory compliance.
According to YZi Labs, Avalon will use the investment to strengthen its regulatory compliance. This move supports the platform’s goal of expanding access to its Bitcoin-backed products globally.
Alex Odaigu,investment director at YZi Labs,said,“Avalon is leveraging Bitcoin’s security and liquidity to build a fully integrated financial ecosystem. it bridges the gap between Bitcoin’s potential and real-world usability.”
avalon’s solutions include BTC-backed lending, a stablecoin, and a yield-generating savings account. The platform also offers a credit card.It has over 300k active users and services more than 20,000 BTC.
Per DeFiLlama data, Avalon’s total value locked in the stablecoin USDa has surpassed $500 million.This ranks it as the second largest collateralized debt position on DeFiLlama. USDa allows Bitcoin holders to unlock more value from their BTC holdings via liquidity and yield.
