At $5B Valuation, Ava Labs Becomes Most Valuable Crypto Startups in World

Ava Labs Raises $350M, At $5B Valuation

According to a report from Bloomberg, Ava Labs is raising $350 million in funding at a $5.25 billion valuation. While the funding round isn’t yet announced, people familiar with the matter told the publication on the condition of anonymity.

Founded in 2018, Ava Labs also raised a $6 million round in 2019, from high-profile investors which included Andreessen Horowitz and Polychain, and has since become one of the largest blockchains.

Can Avalanche Take Over Ethereum?

Often touted as an Ethereum-killer, Avalanche promises to combine scaling capabilities and quick confirmation times through its Avalanche Consensus Protocol. It can process 4,500 TPS (transactions per second). In contrast, Ethereum can only process upto 14 TPS.

The smart contract platform’s native AVAX token recorded a whopping 2,800% return last year and is currently the 10th-largest cryptocurrency with a market cap of $21 billion at the time of writing. The platform has over $10.7 billion in total value locked in its protocol, according to data from Defi Llama.

Avalanche isn’t only for DeFi. Ava Labs also supports metaverse investments in the network, too, with the idea that a fast and cheap network could effortlessly support blockchain-based games and virtual worlds.