Avalanche adds tokenized high-yield bond vault backed by BlackRock ETF

Tokenized Treasuries and money market funds have dominated the real-world asset conversation for the past two years. Now Avalanche is pushing into riskier territory: junk bonds. IXS Finance launched its High Yield Corporate Bond Vault on September 17, bringing tokenized exposure to US high-yield corporate debt onto Avalanche. The vault, accessed through the IXHYB token, tracks the performance of BlackRock’s iShares 0-5 Year High Yield Corporate Bond ETF (SHYG), a fund that focuses on short-duration, sub-investment-grade corporate bonds. The minimum deposit is $100 in USDC, which makes this one of the lowest entry points for accessing institutional-grade credit products onchain. How the vault works The vault uses an ERC-7540 contract on Avalanche that is compatible with the ERC-4626 tokenized vault standard. The structure is designed to be bankruptcy-remote through Open Trade SPC, a Cayman Islands Segregated Portfolio Company. This legal wrapper means that if IXS Finance itself ran into trouble, the vault’s assets would theoretically remain ring-fenced from creditors. Deposits are accepted in USDC, and the vault offers two access routes. The permissionless path allows any wallet, or...