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Avalanche: $AVAX Up 300% in 3 Months Since Launch of $180M DeFi Incentive Program

source-logo  cryptoglobe.com 17 November 2021 11:28, UTC

Roughly three months ago today, the Avalanche Foundation announced “Avalanche Rush”, “a $180M liquidity mining incentive program” aimed at bringing more applications and assets to the DeFi ecosystem of smart contracts platform Avalanche ($AVAX).

What is Avalanche ($AVAX)?

Below is a brief description of Avalanche from its developer documentation:

Avalanche is an open-source platform for launching decentralized applications and enterprise blockchain deployments in one interoperable, highly scalable ecosystem. Avalanche is the first decentralized smart contracts platform built for the scale of global finance, with near-instant transaction finality. Ethereum developers can quickly build on Avalanche as Solidity works out-of-the-box.

A key difference between Avalanche and other decentralized networks is the consensus protocol. Over time, people have come to a false understanding that blockchains have to be slow and not scalable. The Avalanche protocol employs a novel approach to consensus to achieve its strong safety guarantees, quick finality, and high-throughput without compromising decentralization.

AVAX is the native token of Avalanche. It’s a hard-capped, scarce asset that is used to pay for fees, secure the platform through staking, and provide a basic unit of account between the multiple subnets created on Avalanche. 1 nAVAX is equal to 0.000000001 AVAX.

Avalanche is being developed by Ava Labs, a blockchain startup founded in Brooklyn, New York in 2018 by Professor Emin Gün Sirer (CEO), who does computer science research at Cornell University, Kevin Sekniqi (COO), and Ted Yin (Chief Protocol Architect).

The ‘Avalanche Rush’ DeFi Incentive Program

In a blog post published on August 18, the Avalanche Foundation introduced “Avalanche Rush”, a $180M liquidity mining incentive program, and explained that this program would bring two of the most popular DeFi projects to Avalanche:

Avalanche Rush will bring Aave and Curve, two of the largest DeFi protocols by total value locked (TVL), to launch on Avalanche. Phase 1 of the Rush program will launch soon and provide the Avalanche native token, AVAX, as liquidity mining incentives for Aave and Curve users over a 3 month period. The Avalanche Foundation has allocated up to $20M AVAX for Aave users and $7M AVAX for Curve users, with additional allocations planned for Phase 2 in the coming months.

This program follows in the footsteps of “Avalanche Bridge” (currently in beta), “a next-generation cross-chain bridging technology that transfers assets between blockchains.”

According to a recent tweet by Coin98, at least 358 Avalanche-powered projects have been built in the past 13 months.

358 projects in 13 months the rapidly growing @avalancheavax ecosystem.$AVAX #AVAX pic.twitter.com/R5J76Py65v

— Coin98 Analytics (@Coin98Analytics) November 9, 2021

The following infographics gives an idea of how much the Avalanche ecosystem has grown since late April.

The ecosystem has grown so much, it's amazing to look at it even just 6 months ago! pic.twitter.com/nWeCJQ3664

— AVAXCoins 🔺 (@AvaxCoins) November 9, 2021

$AVAX’s Price Action

According to data by TradingView, on crypto exchange Binance, currently (as of 10:05 UTC on November 17), $AVAX is trading around $96.01, up 11.21% in the past 24-hour period.

Source: TradingView One-Day Price Chart for AVAX-USD (Binance)

Interestingly, in the three-month period since the Avalanche Rush program was announced, $AVAX has gone up nearly 300% (or 297.06% to be more precise).

Source: TradingView Three-Month Price Chart for AVAX-USD (Binance)

DISCLAIMER

The views and opinions expressed by the author, or any people mentioned in this article, are for informational purposes only, and they do not constitute financial, investment, or other advice. Investing in or trading cryptoassets comes with a risk of financial loss.

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