A pseudonymous group called Team Rocket shared the initial concept for Avalanche in May 2018. The project later moved from anonymous online posts to academic rigor under researchers at Cornell University led by Emin Gün Sirer alongside doctoral students Maofan Ted Yin and Kevin Sekniqi.
In March 2020, the AVA codebase became available as open-source software through the Developer Accelerator Program. Ava Labs subsequently formed as a startup to build a blockchain network meeting specific finance industry requirements.
The X-Chain manages funds while the C-Chain handles smart contracts and the P-Chain coordinates the network. This tripartite structure allows users to transact assets without waiting for contract execution or validator changes.
Ava Labs secured $230 million in September 2021 by selling AVAX cryptocurrency to investors including Polychain Capital. That same month marked a significant shift in market perception for the project.
Amazon Web Services announced a partnership with Avalanche in January 2023 to improve infrastructure capabilities. In August 2024, Tixbase and Passolig integrated blockchain technology into Turkey's ticketing industry.