What is Avalanche (AVAX)?
What is Avalanche (AVAX)?
Avalanche is a decentralized, open-source blockchain platform that enables users to build DeFi applications, digital financial assets, and private or public blockchain networks. The network’s native currency, AVAX, plays an important role in securing the platform through staking, paying transaction fees across all subnets, and participating in the governance processes of the primary network.If you want to buy or sell AVAX, you can do it simply and quickly—without hidden fees—through the Abarai platform. You’ll benefit from a friendly interface and Romanian-language support if you need help or have questions. For amounts under 5,000 RON, there are no complicated KYC procedures—you only need to provide billing details.
Who founded Avalanche (AVAX)
Avalanche was created by Ava Labs, a company dedicated to developing blockchain technology. The Ava Labs team set out to build a global platform that facilitates decentralized finance, providing users and developers with the tools necessary to create scalable applications and networks.The founders of the Avalanche (AVAX) project are:Emin Gün Sirer – A renowned computer science professor and cryptocurrency expert, known for major contributions to blockchain technology and for developing Avalanche consensus.Kevin Sekniqi – A specialist in distributed systems and cryptography.Ted Yin – Creator of the HotStuff protocol (also used by Facebook in its blockchain project), who contributed deep technical expertise to Avalanche.Avalanche development began in 2018, the testnet launched in 2019, and mainnet launched in September 2021. Backed by a strong team and a growing community, Avalanche quickly stood out as one of the most promising blockchain platforms:- Thanks to its advanced technology, Avalanche can process over 4,500 transactions per second, placing it among the fastest blockchains on the market.
- Avalanche is unique in its compatibility with the Ethereum Virtual Machine (EVM). This lets developers migrate or build decentralized applications in a familiar environment, with the benefits of higher scalability and near-instant confirmation times (less than one second!).
Key features of the Avalanche blockchain
- Fast transactions: Finality in under one second.
- Impressive scalability: Over 4,500 transactions per second.
- Interoperability: Supports interaction across multiple networks.
- Customization: Users can build public and private blockchains with their own rules.
The native AVAX token plays a central role
It is used for:- Payments on the network,
- Staking for voting and validation,
- Fees for various operations on the platform.
How Avalanche works
How Avalanche works
Avalanche operates using a unique system of three interconnected blockchains, each with a well-defined purpose. This modular model ensures maximum efficiency and a clear separation of functions. This separated architecture enables Avalanche to be:
- Faster and more scalable than other networks, because workloads are split across specialized chains.
- Flexible, allowing developers to build customized networks tailored to their needs.
X-Chain (Exchange Chain)
Primary purpose: The X-Chain is responsible for creating, issuing, and exchanging digital assets, including the native AVAX token. It’s essentially the “playground” for users who want to create and trade assets.Key functionalities:- Create new digital assets with custom rules.
- Fast and secure transfers between users.
- Low, fixed transaction fees.
- Uses Avalanche Consensus for rapid transaction finality.
C-Chain (Contract Chain)
Primary purpose: Hosting smart contracts and decentralized applications (dApps). It is essential to Avalanche’s DeFi ecosystem.Key functionalities:- EVM compatibility, allowing existing Ethereum apps to migrate to the C-Chain.
- Fast payments, with average finality around one second.
- Low transaction costs, with a fixed fee of 0.001 AVAX.
- Address: The address prefix on C-Chain is C-avax….
P-Chain (Platform Chain)
Primary purpose: Managing and coordinating the Avalanche network. The P-Chain is responsible for validating blocks created on the X-Chain and C-Chain and for maintaining the security of the entire network.Main characteristics of P-Chain:- Creation and management of subnets on Avalanche.
- Support for digital identity management, enabling interoperability among different applications and users on the network.
- Maintaining security using efficient consensus algorithms, such as HotStuff.
- High scalability, with capacity to process up to 10,000 transactions per second.
Consensus mechanism
Avalanche uses Proof of Stake (PoS) as the base mechanism to determine who can be a validator and to secure the network. Validators—essential to maintaining the network—must stake at least 2,000 AVAX tokens.What is Avalanche consensus? This is a specific consensus algorithm used by the Avalanche network to reach agreement on transactions, leveraging the concept of subsampling. When a transaction is initiated, a validator does not need to communicate with all other validators on the network to approve it (as in some PoW or PoS systems). Instead, the initiating validator selects a small subset of nodes to check the transaction and repeats this query process with other random groups of validators until it ensures the entire network has converged on a decision.This mechanism operates across all three blockchains that make up Avalanche’s primary network and ensures:- Remarkable speed: Transactions finalize in under one second.
- Excellent scalability: Can handle thousands of transactions per second, surpassing many other blockchains’ limits.
- Strong security: Resistant to Sybil attacks through robust randomization.
Ethereum Virtual Machine (EVM) integration
The C-Chain, one of Avalanche’s core chains, is fully compatible with the Ethereum Virtual Machine (EVM). In practice, this means developers familiar with Ethereum can migrate dApps and smart contracts to Avalanche with minimal effort. This compatibility provides:- Support for the Solidity language used to write smart contracts.
- The ability to use popular tools like MetaMask and Truffle.
- An on-ramp for many DeFi projects (e.g., Trader Joe or AAVE).
What functions does Avalanche serve
What functions does Avalanche serve
Platform for decentralized applications (dApps)
Avalanche is an excellent base for building and running decentralized applications. Developers can leverage EVM compatibility on the C-Chain, making migration or development simpler. High scalability and fast finality provide a better user experience.Creating and trading digital assets (X-Chain)
Through the X-Chain, users can customize and issue their own digital assets, such as tokens or NFTs. These assets can be traded quickly and at low cost, opening a broad range of possibilities for creators and businesses.Platform for Decentralized Finance (DeFi)
Avalanche provides the infrastructure needed to build and use DeFi protocols. Specifically, the platform supports the development of:- Decentralized exchanges (DEXs)
- Lending and borrowing solutions
- Stablecoins and other financial innovations
Creating custom blockchains (subnets)
With Avalanche, organizations can launch fully customizable private or public blockchains. Subnets can be configured with their own rules, specific validators, and fee structures, enabling solutions tailored to each business’s needs.
How much does AVAX cost. AVAX price history
How much does AVAX cost. AVAX price history
AVAX all-time low
Shortly after launch, in December 2020, AVAX hit an all-time low of approximately $2.28–$2.79 amid broader market uncertainty. At that time, the Avalanche project was gaining traction and laying the foundations of its ecosystem, but it hadn’t yet attracted today’s level of investor attention.AVAX all-time high
A key milestone came in November 2021, when AVAX reached an all-time high of about $147. This spectacular rise was fueled by:
- The huge surge in interest in DeFi platforms,
- Rapid expansion of the Avalanche ecosystem through innovative project launches,
- Overall positive sentiment in the crypto market.
Factors that influence the value of AVAX
Factors that influence the value of AVAX
The value of AVAX, like any cryptocurrency, is influenced by several factors. Here are some of them:
Supply and demand. Token burn mechanism.
Like any asset, AVAX’s price is governed by supply and demand. When demand for AVAX rises (for example, due to adoption of the Avalanche platform), the price tends to increase. Conversely, market oversupply can lead to declines.Token burning also plays an important role. Avalanche (AVAX) burns tokens as part of its transaction fee mechanism. All fees paid for transactions on the Avalanche network—regardless of which chain they occur on (X-Chain, C-Chain, P-Chain, and subnets that use AVAX as gas)—are burned. This gradually reduces the circulating supply of AVAX and can exert upward pressure on price over the long term.Capital flows
Capital inflows and outflows in the crypto market matter. If new investors bring capital into the Avalanche ecosystem, AVAX’s price may rise. Significant withdrawals, on the other hand, can push prices down.Platform adoption rate
One of the strongest catalysts for AVAX appreciation is the rate of Avalanche network adoption. This includes:- More developers building dApps on the platform,
- Creation and use of more subnets,
- Growth in the number of assets traded on the network.
Technological performance and scalability
Avalanche stands out for its advanced technology, enabling high throughput, fast finality, and strong performance. Any major upgrade or improvement can attract more users and developers, increasing the network’s appeal and AVAX’s price.Ecosystem development
The expansion of the Avalanche ecosystem also plays a crucial role in AVAX’s value:- Launch of new DeFi protocols,
- Strategic partnerships and integrations with other blockchain platforms,
- Growth of active communities on Avalanche.
Governance and improvement proposals
How the Avalanche network is governed and the adoption of protocol improvement proposals can influence investor sentiment. Well-designed decisions and implementations that benefit token economics can increase price and user confidence.Overall crypto market sentiment
AVAX’s price is closely tied to broader crypto market trends. For example, significant increases in Bitcoin (BTC) and Ethereum (ETH) often coincide with appreciation in altcoins like AVAX. Negative market sentiment can lead to broad declines.Legal and regulatory challenges
Crypto Leaks allegations (August 2022) In August 2022, “Crypto Leaks,” a platform known for exposing controversial activities in the crypto industry, published claims that brought Ava Labs into the spotlight. According to the report, Ava Labs allegedly made a secret arrangement with the law firm Roche Freedman, using litigation as a strategic tool to attack competitors and mislead regulators such as the SEC and CFTC.What exactly did these allegations claim?- That Roche Freedman was engaged to initiate lawsuits against Ava Labs’ competitors to hinder their progress.
- That Ava Labs attempted to divert the attention of regulators like the SEC toward other crypto companies.
- Assessing Ava Labs’ compliance with existing regulations,
- Examining transparency around its economic model and AVAX tokenization.
Benefits of investing in AVAX
Benefits of investing in AVAX
Avalanche is one of the fastest and most scalable blockchain networks in the world—an ecosystem in rapid expansion. If you’re an investor wondering about the advantages of investing in AVAX, here are some reasons to consider this digital asset.
Price appreciation (capital gains)
AVAX’s value is strongly influenced by market demand. Factors such as adoption of the Avalanche platform, ecosystem expansion, and positive crypto-market sentiment can drive price increases. As demand for AVAX grows, its price on exchanges tends to follow.Investors can buy AVAX at lower prices in early or less volatile phases and, as the price rises, sell tokens at higher values, realizing gains from capital appreciation—a strategy typically associated with long-term investing.Staking
Avalanche uses a Proof of Stake (PoS) consensus mechanism, which means AVAX holders can help secure the network via:- Validation: Locking AVAX to become a validator, meeting technical and minimum stake requirements.
- Delegation: Delegating tokens to other validators without running nodes yourself.
- Passive: No need for constant trading.
- Secure: Your tokens simultaneously contribute to network security.
- Variable yield: Depending on stake size and duration, returns can be significant.
Participating in the DeFi ecosystem
Avalanche’s DeFi ecosystem is expanding fast, offering multiple ways to put AVAX to work—DEXs, lending platforms, and yield farming among them.How do investors earn?Providing liquidity Investors can deposit AVAX—often paired with other cryptocurrencies—into liquidity pools on DEXs. In return, they earn a share of trading fees generated by the platform.Lending and interest AVAX can be lent on lending platforms to earn interest. You can also post AVAX as collateral to borrow other digital assets.Yield farming Yield-farming programs provide additional rewards to investors who actively use AVAX in DeFi protocols. Rewards vary and can add an extra income stream.Practical example: An investor can generate notable fees by providing AVAX liquidity on a popular DEX like Trader Joe, one of Avalanche’s most used protocols.
How to get AVAX via the Abarai platform
How to get AVAX via the Abarai platform
If you want AVAX, it’s very simple to get it through the Abarai platform using the swap service, in just a few easy steps.
Why choose Abarai?
When it comes to crypto transactions, Abarai stands out for simplicity, speed, and maximum security. Here are some reasons users choose Abarai:- No account or complicated KYC needed for most transactions under 5,000 RON.
- Low, transparent fees—see exactly what applies from the start.
- Fast transactions—buy AVAX in under 5 minutes.
- Romanian-language support—our team is always ready to help.
- Security: Abarai does not custody client funds, removing hacking risk. After the transaction, crypto is sent directly to your wallet.
Steps to obtain AVAX
1. Access the Abarai platform
Go to the Abarai website and choose the crypto swap option.2. Select the crypto pair you want to swap In the “You send” section, choose the cryptocurrency you want to swap. In “You get,” select AVAX from the list of available cryptocurrencies.3. Enter the desired amount Fill in the amount of AVAX you want to receive in your wallet.4. Provide your AVAX wallet address Enter your Avalanche wallet address where you want to receive the crypto. If you don’t have a wallet yet, creating one is simple and fast.5. Confirm and finalize the transaction Review the transaction details, confirm payment, and AVAX will be sent to your wallet almost instantly!FAQ
Is it safe to buy AVAX via Abarai? Yes, Abarai offers a safe and transparent environment for crypto transactions. Your funds are transferred directly to the wallet you specify, without being stored beforehand.Can I buy AVAX without creating an account? Yes! For most transactions under 5,000 RON, there’s no need to create an account or upload ID documents.What payment methods are available? Abarai supports multiple payment methods, including:- Credit/debit cards,
- Revolut Pay,
- SEPA, SWIFT, and other bank transfers.