Blockchain
TON Blockchain Grows Together with Associated Company Telegram
In the world of cryptocurrencies, a project linked to the popular messaging app Telegram made quite a splash this year.
The open network (TON) blockchain, which is associated with Telegram Messenger LLP, has seen a notable increase in value even amid a broader rally in the cryptocurrency sector, Bloomberg reported Friday (July 5).
With access to 900 million Telegrams Monthly Active UsersAccording to the report, assets locked in TON have skyrocketed by 1,400% this year, briefly surpassing $1 billion.
The performance has rekindled hopes that Telegram could become a “super-app” that encompasses social interactions, games and financial tools, the report said.
Investment company Panther Capital Management LP According to the report, Telegram is the only major platform that can integrate Web3 for an open blockchain network free from regulatory hurdles.
Telegram was founded in 2013 by Russian brothers Pavel and Nikolai Durov. In 2018, the company raised $1.7 billion through an initial coin offering (ICO) to launch the “Telegram Open Network,” according to the report.
However, the project had to face scrutiny from the United States Securities and Exchange Commission (SEC). In 2020, Telegram reached a settlement with the regulator, agreeing to return the proceeds from the ICO and pay a penalty of $18.5 million, the report said.
Following the deal, the TON Foundation emerged as a separate entity from both the Telegram Open Network and Telegram itself. However, some skeptics argue that TON is still highly dependent on Telegram and that decisions made by network operators will likely align with Telegram’s interests, according to the report.
Despite these concerns, Telegram announced in February that it would exclusively use the TON blockchain for payments related to a new advertising revenue sharing program. This move coincided with a significant increase in key metrics for the blockchain. The number of daily active users on TON recently surpassed 350,000, according to ToneStat data, according to the report.
As the world becomes more global and digital, immediacy Payment solutions that transcend borders are becoming increasingly popular. Richard Galvinco-founder and CEO of cryptocurrency investment firm DACMstated in the report that he believes these types of payment solutions are a “killer app.” DACM purchased TON tokens in a private round in early 2023.
At the same time, the growth of crypto apps faces challenges due to know your customer (KYC) and anti-money laundering (AML) controls, according to the report. On June 3, TON implemented new KYC and AML controls, requiring users to provide their personal information to access the wallet’s core features.
The recent surge in TON assets on the blockchain can be attributed to the popularity of mini-apps, such as play-to-earn games like Hamster Kombat and Notcoin, according to the report. These apps have amassed millions of users and have contributed significantly to the growth of the blockchain. Additionally, a Association with Bindthe stablecoin issuer, was announced in April and has increased the usage of USDT over TON.
Looking ahead, industry experts predict that payments and remittances will become increasingly important use cases for TON. Cosmo Jianga portfolio manager at Pantherbelieves that consumer-facing platforms powered by blockchain software will be the key growth area in the cryptocurrency industry over the next three years, according to the report.
According to the report, TON, with its ambitious goal of capturing a third of Telegram’s user base by 2028, appears to be well-positioned to capitalize on this trend.