On July 25th, the Avalanche Foundation announced the establishment of a $50 million fund to acquire real-world assets and transform them into tokens on the Avalanche blockchain. This initiative, known as “Avalanche Vista,” aims to demonstrate the practicality of using blockchain technology in real-world use cases and financial operations.
The program encompasses activities such as issuance, payment, transfer, and asset management. Previously, these operations were primarily reserved for large institutional investors and wealthy individuals due to high costs. However, with blockchain technology, Avalanche Vista seeks to expand participation and access to traditional assets such as stocks, credits, real estate, and commodities.
Notably, this initiative follows the success of KKR & Co. (KKR), a leading global investment fund, in deploying investment products on the Avalanche blockchain in 2022. This highlights the significant potential of transforming traditional securities into digital tokens.
According to a report by Security Token Advisors, the trend of digitizing securities is becoming increasingly evident, with 77% of market participants believing that traditional securities will be tokenized within the next 5-10 years.