BlackRock’s BUIDL lifts Avalanche tokenization; AVAX falls
Avalanche recorded a sharp increase in institutional activity around tokenized money market funds, loans, and indices in the fourth quarter of 2025, pushing the value of real‑world assets on the network to a new peak even as its native token lagged broader market performance. The total value locked in tokenized real‑world assets on Avalanche climbed 68.6% in Q4 and nearly 950% year over year to more than $1.3 billion, supported by the $500 million BlackRock USD Institutional Digital Liquidity Fund (BUIDL) launched in November, according to a Thursday report by Messari research analyst Youssef Haidar.
Fortune 500 fintech firm FIS partnered with Avalanche-based marketplace Intain in November to introduce tokenized loans, further adding to Avalanche’s TVL, Haidar noted. Intain provides infrastructure for 2,000 U.S. banks to securitize more than $6 billion in loans on Avalanche.
S&P Dow Jones Indices also teamed up with Dinari, a blockchain platform powered by Avalanche, to debut the S&P Digital Markets 50 Index, which tracks 35 crypto‑linked equities and 15 crypto tokens on Avalanche.
Traditional financial institutions are increasingly piloting crypto tokenization as the U.S. Securities and Exchange Commission has shown greater openness to new crypto products over the past year. Asset managers Bitwise and VanEck filed S‑1 registration statements late last year to launch spot Avalanche exchange‑traded funds that include staking. VanEck’s spot Avalanche ETF launched on Monday.
AVAX price declines
The Avalanche (AVAX) token fell 59% in the fourth quarter to $12.3 and has decreased a further 10.5% so far in 2026 to around $11. AVAX has not mirrored Bitcoin (BTC) and Ether (ETH) this cycle—both of which have posted new all‑time highs—with AVAX down over 92% from its November 2021 peak of $144.96, according to CoinGecko.
Avalanche DeFi activity increases
The value locked in Avalanche’s native decentralized finance protocols rose 34.5% in Q4 to 97.5 million AVAX, while average daily transactions on the Avalanche blockchain increased 63% to 2.1 million over the same period, Haidar reported.
The total stablecoin market capitalization on Avalanche’s main chain was largely unchanged in Q4, edging up 0.1% to $1.741 billion—an increase of about $1 million. Tether’s USDt (USDT) overtook Circle’s USDC (USDC) as the leading stablecoin on Avalanche, representing 42.3% of total supply by the end of 2025 with $736.6 million in circulation.
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