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Due to their ultrahigh sensitivity to magnetic flux, superconducting quantum interference devices (SQUIDs) are able to detect biomagnetic signals. By labeling biotargets with magnetic nanoparticles, several groups have shown that SQUIDs are promising as quantitative probes of biotargets by measuring their magnetic properties. In this work, we describe the design and construction of a high-transition-temperature radio-frequency SQUID magnetometer system for measuring the magnetic relaxation of labeled avidin. We also describe the synthesis of magnetic nanoparticles coated with biotin for use in labeling the avidin. Furthermore, the specifications of the SQUID-based magnetically labeled immunoassay of avidin are explored.