Avalon Labs considers filing first Bitcoin-backed debt public fund

Avalon Labs says that he explores the possibility of depositing the first public fund of debt supported by Bitcoin in the industry aligned with dry regulations.

After having expressed the first bitcoin of the world (BTC) -Back stable Usda, Avalon Labs wants to extend its suite of financial products fixed to the BTC.

On February 12, Avalon announced in a recent job which currently assesses the possibility of depositing the first public debt fund supported by Bitcoin in industry under the United States Commission of securities Regulations a framework.

The framework of the SEC regulation is an exemption from securities which allows companies to raise capital from investors credited and not accredited through a public offer without having to join a complete SEC registration. Consequently, regulation A is often compared to a “mini-IPOAnd is widely used by fund managers, real estate investment trusts and private companies to enter the market.

By establishing the first public debt fund supported by Bitcoin, Avalon Labs hopes to fill the gap between traditional finance and the cryptography industry, paving the way for new opportunities to develop financial products supported by Bitcoin.

The co-founder of Avalon Labs, who came Li, declared in a press release that Avalon Labs spent years looking for the way in which regulations A is implemented in traditional finance and how it could be used in the sphere cryptographic.

“Although the previous ones succeeded in the cryptographic industry are limited, our analysis of the previous cases approved by the SEC suggests a viable path,” said Li in a press release.

In 2021, Li had succeeded in obtaining the approval of a public debt fund of the SEC.

If it is implemented with success, a public fund supported by Bitcoin could become an important step for the cryptography industry, because it could attract more traditional investors to put their funds to Bitcoin, while stimulating general adoption Financial products supported by Bitcoin.

Avalon Labs is a Bitcoin chain financial center, offering users a variety of products centered on crypto, including btc -supported loans, stablecoin supported by Bitcoin, yield generating accounts and a credit card.

According to data From Defi Llama, Stablecoin suspicion of Avalon, USDA, has a market capitalization of more than $ 254 million.