What is Avalon (AVL)

I. Project Introduction

1. What Is Avalon Labs?

Avalon Labs (AVL) is a Bitcoin-centric on-chain financial platform that provides BTC-collateralized lending, the USDa stablecoin and sUSDa yield products, and CeDeFi and DeFi services. The protocol aims to unlock Bitcoin liquidity without requiring holders to sell their assets. Avalon Labs is also developing an AI Marketplace, institutional order books, and Real-World Asset (RWA) yield products, with several of these features slated for future deployment.

2. How Does Avalon Labs Work?

Users can collateralize BTC or related assets to borrow USDa, or participate in yield-generating strategies via sUSDa. On-chain DeFi lending operates through smart contracts, isolated lending pools, and liquidation mechanisms, while the CeDeFi model connects on-chain collateral with institutional liquidity. AVL serves as the governance and utility token of the ecosystem. Holders can stake AVL for sAVL to participate in protocol governance and earn incentives. All interest rates, collateral ratios, and yields dynamically adjust based on market conditions and protocol parameters.

3. Who Founded Avalon Labs?

In an official June 2025 investment announcement, YZi Labs identified Venus Li as Avalon Labs’ co-founder, although the project’s website does not fully disclose the founding team. In terms of financing, Avalon Labs raised a $1.5 million seed round in March 2024, followed by a $10 million Series A round in December 2024 led by Framework Ventures. In June 2025, the project secured a strategic investment of an undisclosed amount from YZi Labs.

4. Avalon Labs Tokenomics

AVL has an initial supply cap of 1 billion tokens. The official distribution of the initial supply is as follows: community incentives 28%, airdrop 20%, ecosystem and treasury 15%, team 10%, Advisor 4%, initial liquidity 4%, and investors 19%. Each category is subject to specific lockup and vesting schedules. Following multiple rounds of buybacks and burns, the circulating supply is lower than the initial cap. Please refer to on-chain data and the latest official disclosures for real-time supply information.

5. Timeline of Key Milestones

March 2024: $1.5 million seed round completed.

2024: Launch of CeDeFi lending, USDa, and related BTCFi products.

December 2024: $10,000,000 Series A funding round completed.

January 2025: AVL airdrop registration launched, and USDa / sUSDa Berachain Vault introduced.

June 2025: YZi Labs announced an investment in Avalon Labs.

2025: Continuous AVL buybacks and burns with the plan of AI and RWA product expansion.

II. Token Information

III. Related Links