Avalanche is approved to repurchase $52 million of AVAX from LFG, which will be used to support grants, incubators and activities

Odaily News The Avalanche Foundation has received court approval to repurchase 1.97 million AVAX tokens, worth approximately $52 million, from the defunct Luna Foundation Guard (LFG), officially ending its relationship with the Terra project. LFG was created by Do Kwon, founder of Terraform Labs. "We are pleased to complete this buyback, which highlights our continued commitment to the development of the Avalanche ecosystem," said Aytunç Yildizli, CEO and executive director of the Avalanche Foundation. He noted that the funds will be used to support grants, incubators, and events to advance community and technology development. An Avalanche spokesperson noted that the token buyback is "an important step in the Foundation's ongoing efforts to support the growth and sustainability of the Avalanche ecosystem." In 2022, Kwon launched LFG, which will act as an intermediary to purchase up to $10 billion worth of Bitcoin and other crypto assets, including AVAX, as a strategic reserve for UST. Part of the strategy involves two transactions, including placing $100 million worth of AVAX on LFG's balance sheet, and $200 million worth of UST and its associated token LUNA on the Avalanche Foundation's balance sheet. Since the demise of UST, the Avalanche Foundation has been working to buy back its tokens. (The Block)