AVAX One's Lender Cracks Down with Stricter Liquidity Terms

AVAX One's lender has imposed new debt terms on the Nasdaq-listed crypto firm, requiring it to maintain $3.5 million in minimum liquidity.

This figure is a significant increase from the previous requirement of $100,000, and it only counts bank cash and Bitcoin held in custody.

As a result, AVAX One's nearly 14 million Avalanche tokens are excluded from satisfying the test, despite being worth around $88 million according to CoinGecko data.

The lender waived a default on a key-person covenant after AVAX One paid $1.3 million and accepted the new conditions.