AVAX One Downplays $35M Loss, Staking Revenue Surges

AVAX One's interim CEO Pete Wylie downplayed the company's $35.1 million quarterly loss, attributing it to non-cash charges of $33 million. The loss was driven by digital-asset markdowns, with a $29.8 million unrealized loss from changes in market value and a further $2.6 million impairment from liquid-staking tokens.

Excluding the non-cash items, AVAX One reported an adjusted net loss of $2.2 million for the quarter. Wylie emphasized that staking generated $2.1 million of the $2.8 million quarterly revenue, which rose from approximately $500,000 a year earlier.

The company held 14.09 million AVAX tokens and equivalents, with around 95% actively staked at an annualized yield of about 5.4%. Wylie highlighted that staking rewards continue to accrue in AVAX regardless of the token's dollar price.