SecondSwap has officially expanded its decentralized exchange operations to support locked and vesting digital assets on the Avalanche blockchain. The February 2025 launch of Ethereum sought to improve trading of restricted tokens through on-chain processes for early contributors and vesting schedules.
The usage of Avalanche’s native smart contracts enables transparent price discovery and secure settlement for locked tokens through decentralized trading while eliminating manual off-market transactions that once controlled this specialized market.
Unlocking a $100 Billion Market of Locked Tokens
Tokenomist’s report shows that early-stage projects currently hold over $100 billion in locked tokens. While owners technically hold these assets, they mostly remain illiquid because of vesting constraints. On-chain bidding through SecondSwap enables users to propose discounts and select vesting periods of 3, 6, or 12 months to gain automated access to discounted assets in a verifiable manner. Through its expansion into Avalanche, the platform seeks to provide greater liquidity and access opportunities to individual and institutional investors.
Real-Time Settlement and Transparent Trading
SecondSwap addresses traditional locked token trading inefficiencies by providing smart contract-based verifiable asset transfers and real-time settlement with transparent pricing. Through its platform, the protocol permits token projects to directly issue and trade assets which reduces their dependence on outside services while also lowering risks for both asset issuers and purchasers.
Supporting Avalanche’s DeFi Growth Strategy
Justin Kim leads Ava Labs Asia and praised the expansion because it supports Avalanche’s DeFi objectives. “SecondSwap aligns exactly with our vision to digitize assets while democratizing access and reducing ownership risk,” he stated.
Through this partnership Avalanche increases blockchain control over tokenized asset markets alongside enhanced stability during token unlock events as it scales DeFi infrastructure.
Backed by Top Investors and Eyeing the Future
SecondSwap expanded after GSR and Animoca Ventures led a seed investment of $1.2 million. The company’s roadmap outlines plans to develop on-chain lifecycle management tools for token projects to enhance efficiency and mitigate market shocks due to unlock schedules. The platform is also offering early incentives. Participants who whitelist their wallets and submit early bids will receive access to discounted locked tokens, which increases both utility and user engagement.
