- AVAX One reported approximately $49.9 million in third-quarter net income, primarily driven by $55.1 million in unrealized gains from its digital asset holdings.
- The company holds more than 14.17 million AVAX tokens and equivalents, with approximately 99.7% of its treasury staked at an annualized yield of 5.85%.
- AVAX One has abandoned its modular data center and AI infrastructure plans to focus on accumulating and staking Avalanche tokens.
AVAX One Technology Ltd. (NASDAQ: AVX) has announced a major shift in its business strategy, abandoning its data center development plans to focus entirely on its Avalanche cryptocurrency treasury.
The company revealed the decision alongside its third-quarter 2026 financial results on Nov. 12.
AVAX One reported approximately $49.9 million in quarterly net income, largely supported by unrealized gains from its digital asset holdings.
The company also reported $2.4 million in revenue, representing more than fourfold growth compared with approximately $526,000 during the same period last year.
The strategic shift positions AVAX One as a publicly traded company focused on generating returns through Avalanche accumulation and staking.
AVAX One Avalanche Holdings Reach 14.17 Million Tokens
As of Sept. 30, AVAX One held approximately 14,170,184 AVAX tokens and equivalents.
The total included around 850,000 AVAX deployed into Treehouse.
According to the company’s financial results, approximately 99.7% of its cryptocurrency treasury was actively staked.
Those holdings generated an estimated annualized staking yield of 5.85%.
Staking rewards contributed approximately $1.8 million in revenue during the third quarter, making them the company’s largest reported revenue source.
Bitcoin mining operations also generated approximately $700,000 in revenue.
However, the company’s reported quarterly profit was primarily driven by changes in the market value of its cryptocurrency holdings.
AVAX One recorded approximately $55.1 million in unrealized digital asset gains, exceeding its total net income of $49.9 million.
These gains represent increases in the accounting value of its holdings rather than profits realized through asset sales.
As a result, future earnings could fluctuate significantly depending on Avalanche’s market performance.
AVAX One Eliminates Debt and Expands Share Buybacks
Alongside its growing Avalanche treasury, AVAX One has been working to strengthen its balance sheet.
During the third quarter, the company eliminated more than $14.9 million in convertible debt.
It continued reducing its outstanding obligations after the quarter ended, bringing its convertible debt balance to zero by early November 2026.
The company has also been repurchasing its own shares through an authorized $40 million stock buyback program.
During the third quarter, AVAX One repurchased approximately 384,000 shares.
The company accelerated those purchases in October, buying back another 710,000 shares.
Combined, the transactions represent approximately 1.09 million shares repurchased across the two periods.
Reducing outstanding shares could increase the amount of Avalanche exposure attributable to each remaining share, depending on future financing activity and treasury performance.
The company’s debt reduction and share repurchases also reflect its efforts to simplify its financial structure while prioritizing cryptocurrency holdings.
AVAX One Abandons AI and Data Center Expansion
AVAX One’s latest announcement marks another significant transformation for the company.
Previously operating as AgriFORCE Growing Systems Ltd., the business initially focused on agricultural technology before expanding into cryptocurrency and infrastructure-related activities.
Its Avalanche treasury strategy began during the fourth quarter of 2025.
Until recently, the company had also been pursuing modular data center development and artificial intelligence infrastructure projects.
These initiatives included plans involving high-performance computing and a proposed collaboration with BlueFlare Energy Solutions.
Following a strategic review, AVAX One decided to terminate its modular data center and AI infrastructure initiatives.
The company will instead concentrate its resources on holding and staking Avalanche tokens.
This approach provides investors with exposure to AVAX through a publicly traded company while allowing the business to generate staking rewards.
However, the strategy also increases its dependence on Avalanche’s price performance, network conditions and staking yields.
For investors, the next developments will involve AVAX One’s ability to maintain its staking returns, manage its treasury and generate sustainable revenue beyond unrealized cryptocurrency gains.
