Avalanche Won Over the NYSE. Now It Has to ‘Capture Value’ for AVAX

In brief

• The NYSE will use Avalanche as the core ledger for clearing and settlement on its planned tokenized securities platform, pending regulatory approval.
• Analysts called it a major credibility win for Avalanche, with one expert noting it came after around a year of testing.
• But the platform will run on dedicated infrastructure rather than the public C-Chain, and experts warn that won’t necessarily translate into value for AVAX.

The New York Stock Exchange this week selected Avalanche to provide infrastructure for a tokenized securities platform it's prepping. Experts say that it's a big deal for Avalanche's reputation, but warn that it may not translate into an uptick in value for the network's AVAX token.

On Monday, Ava Labs announced Avalanche would serve as the "core ledger technology" for a tokenized securities platform developed by NYSE parent company Intercontinental Exchange. The product will be designed to allow 24/7 trading, clearing, and settlement of tokenized securities, subject to regulatory approval.

Carlos Guzman, research analyst at market maker GSR, told Decrypt it’s “definitely a big win for the project.”

“Having NYSE choose its tech for settlement is a big institutional credibility boost, and it validates the benefits blockchain tech can provide to traditional financial plumbing with instant settlement and programmability,” he said.