Microcap AgriFORCE Doubles Market Cap, Catches Retail Trader Eyes — Thanks To Ex-Trump Adviser And A Crypto Pivot
Synopsis
Notable crypto investors are investing in AgriFORCE, which has disclosed plans to buy over $500 million-worth of Avalanche tokens as part of the deal.
Shares of a little-known agri-tech company more than doubled on Monday after it effectively converted to a blockchain-focused business, in another sign of how a favourable policy regime is drawing businesses to the world of cryptocurrencies.
AgriFORCE said Monday it would raise $550 million to buy digital tokens issued on the Avalanche blockchain, a high-speed network used by various Wall Street banks and asset managers.
It is simultaneously raising investment from Anthony Scaramucci, a former adviser to President Donald Trump and founder of SkyBridge Capital, and crypto investment firm Hivemind Capital. AgriFORCE will also change its name to AVAX One.
Hivemind, Scaramucci, and other investors will be the majority shareholders, and Hivemind founder Matt Zhang is expected to be the board chair.
Following the news, AgriFORCE shares rose a whopping 138% on Monday, taking the company's market cap from $3.1 million to $7.5 million. On Stocktwits, the retail sentiment turned 'extremely bullish,' from 'neutral' the previous day, with message volume soaring by 16,000% in a day.
The development is a massive pivot for AgriFORCE, which spent years developing technologies for growing grains into nutrient-dense flours and controlled environment agriculture (CEA) facilities for growing crops indoors. In recent years, it has also experimented with sustainable bitcoin mining by tying it to agriculture.
The company's disclosure stated that AVAX One aims to own more than $700 million in AVAX tokens and trade them on the blockchain. Over the long term, it plans to acquire fintech and insurance companies and move them to the Avalanche network.
SkyBridge, which first invested in AVAX in February 2024, has tokenized $300 million of its flagship hedge funds on the Avalanche blockchain. The tokens are down more than 2% this year, but retail traders on Stocktwits are ‘extremely bullish,’ betting on a breakout in the near future.
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