Key takeaways:
- The CEO of Ava Labs revealed on Thursday that the New York Stock Exchange has been testing Avalanche’s technology for a year
- A representative of the exchange’s owner confirmed the involvement, but no chain has been selected and no schedule has been announced
- On the same day, the American regulator issued a five-year exemption that allows such trade
- The AVAX price increased by one fifth in 24 hours, but on Friday the entire market rose
On a stage in New York, a blockchain man and a stock exchange man who have been trading shares since 1792 sat next to each other. The former said that the latter had been testing his technology for a year. Then he added that you should ask your colleagues from the stock exchange about the rest.
What the CEO of Ava Labs said and what he didn’t say
Cooper did not answer a question about his choice. “I leave it to the NYSE people to talk publicly about where they are in the process,” he said.
A moment earlier, Michael Blaugrund from Intercontinental Exchange, owner of the New York Stock Exchange, sat on the same stage. According to The Block, he talked about his “very committed” collaboration with Avalanche. He gave his reason briefly: Avalanche “checks a lot of boxes.”
Does this mean that the stock exchange has already made its choice? No, and neither side said so. There is no decision in these sentences. There is a description of a flirtation that lasts a year.
Why does the 1792 stock exchange need blockchain?
Who needs this? It’s about removing two restrictions from the stock that you know from your own account. Trading ends at a specific time and is silent for the weekend. The settlement is progressing at its own pace, and you are looking at money that you cannot touch yet. Tokenization is intended to reduce the latter to seconds and extend the former to 24 hours a day.
Is the 20 percent on AVAX due to the stock exchange?
The AVAX rate went from USD 8.18 to around USD 9.88 overnight and reached levels not seen in nine months. It’s tempting to attribute this to one speech at a conference.
But on Friday the entire market was rising. Bitcoin added over 6 percent, ether over 7 percent, and Solana over 12 percent. The name of the New York Stock Exchange contributed to this and does not explain the entire movement. AVAX itself remains well below the peak of the last twelve months, so it is a reflection in the trend, not a new chapter.
If the exchange had chosen a different chain, the same message would have the same force on the price, only in the opposite direction.
What does this mean for you
Nothing for today. You won’t buy a tokenized share from a Polish broker, because the exemption applies to American platforms, and European supervision moves at its own pace. If you hold AVAX, you are holding a bet on the outcome of an undecided tender.
You didn’t hear the name of the chain tested by the stock exchange in 1792 from the stock exchange. You heard it from a company whose price increased by one fifth in 24 hours.
