Avalanche staking RWA: second-level Settlement + customized subnet, aiming to accommodate $250 million assets from TradFi giants.

Avalanche positions itself as the preferred platform for tokenized assets with its second-level settlement and customizable subnets. Recently, Grove Finance plans to introduce approximately $250 million in RWA, demonstrating its strong development potential in the institutional finance sector. This article is sourced from a piece written by Alea Research and organized, translated, and authored by Tim from PANews. (Background: Grayscale Q3 Top 20 cryptocurrency list released: New additions AVAX, MORPHO, while LDO and OP are eliminated) (Context: FIFA announces partnership with Avalanche for "football blockchain", AVAX token experiences a big pump of 12%) Avalanche was initially designed as a high-performance public chain for institutional-grade finance, but its next phase of development will shift focus to the RWA sector. Avalanche does not compete solely on throughput or Virtual Machine compatibility; instead, it positions itself as the preferred platform for tokenized credit, treasury bonds, and other regulated assets. According to recent news, Grove Finance plans to allocate approximately $250 million in RWA on the Avalanche blockchain through Centrifuge and Janus Henderson, bringing new institutional partners and financial products to the ecosystem. In this article, we will introduce Avalanche's technical architecture aimed at institutions, Grove's RWA deployment and its impact, and interpret why tokenized credit and treasury bonds can make Avalanche the preferred public chain in the RWA field. Why is Avalanche important for RWA? The Avalanche platform achieves sub-second transaction finality and high throughput through its unique Avalanche consensus protocol, enabling developers to build customized layer one networks that balance compliance and efficiency: subnets. These characteristics make the platform particularly suitable for institutional-grade application scenarios, where deterministic settlement and low transaction costs have become rigid demands. As of now, Avalanche has supported nearly $180 million worth of tokenized RWA, covering 35 asset classes. These assets already include several important categories of traditional financial products, such as tokenized treasury bonds, credit products, institutional funds, and alternative assets. Tokenized treasury bonds and credit products: OpenTrade connects U.S. treasury short-term notes and institutional credit to DeFi, while Backed Finance introduces regulated stocks like SPY and COIN into the blockchain under Swiss regulatory frameworks. Institutional funds: BlackRock's BUIDL fund, issued through Securitize, can be deposited into Avalanche wallets and used as DeFi collateral. This fund has contributed $53 million to institutional RWA TVL. Reinsurance and alternative investments: RE tokenizes reinsurance premiums to create uncorrelated revenue streams. The network's support for customizable subnet functionality allows asset management institutions to deploy dedicated chains with independent verification nodes and compliance rule systems. The ecosystem is compatible with programmable stablecoins (like avUSD and sAVAX) and supports permissionless lending agreements and various liquid staking schemes (including innovative protocols like sAVAX, ggAVAX, and yyAVAX). The collaboration between Grove, Centrifuge, and Janus Henderson In late July 2025, Avalanche announced that the institutional credit protocol Grove Finance would go live on its platform, aiming to introduce approximately $250 million in RWAs. Currently, Grove is collaborating with tokenization pioneer Centrifuge and the giant fund management company Janus Henderson, which manages $373 billion in assets, to facilitate on-chain deployment for two funds: Janus Henderson Anemoy AAA rated loan collateralized securities fund (JAAA): A loan collateralized securities fund that allocates priority credit assets through regulated standards. Janus Henderson Anemoy Treasury Fund (JTRSY): A strategy that invests in short-term U.S. treasury bonds. The influx of funds into Grove will more than double Avalanche's scale in the RWA sector. This collaboration will also introduce powerful new partners to the ecosystem, deepening strategic synergy with asset management giant Janus Henderson and decentralized asset protocol Centrifuge. The deployment of products from Apollo Global Management's ACRED, WisdomTree's tokenized fund, KKR's healthcare growth fund, as well as products from BlackRock, Franklin Templeton, VanEck, and others, all demonstrate Avalanche's overall strong development momentum in institutional application layers. Adoption of RWA on Avalanche For users and developers, the continuously expanding RWA ecosystem on Avalanche provides new foundational components for building yield strategies and fixed-income products. Developers can integrate tokenized loan collateral certificates and U.S. treasury bonds into lending markets or automated vault systems, while retail investors can access financial fields traditionally limited to institutional participants. For asset allocators, Avalanche is gradually becoming a reliable alternative to Ethereum in the institutional RWA sector. Its high-performance architecture, low costs, and proven subnet technology offer significant attractiveness to asset management institutions seeking to achieve fund tokenization. The Grove deployment plan indicates that large credit portfolios have achieved on-chain operationalization, which is expected to unlock liquidity and enhance transparency for investors. The network's collaboration with Visa in the global stablecoin settlement field, coupled with record trading volumes on DEX, collectively confirms that Avalanche is building infrastructure for payment systems and capital markets. "Related reports 42 million vehicle ownership records on-chain AVAX" California DMV embraces blockchain: efficiency improved by a factor of 10,000 "New MapleStory N" logs into Avalanche, will the AVAX game ecosystem take a leap forward? Avalanche 9000 officially launches on the Mainnet: deployment costs for L1 drop by 99.9%, hundreds of subnets are about to be activated "Avalanche stakes RWA: second-level settlement + customizable subnets, aiming to host $250 million in traditional financial giants' assets" This article was first published in BlockTempo, the most influential blockchain news media.