Active TON addresses on the Ethereum network have surged following news of the TON token’s integration into the Telegram app.
The price of The Open Network (TON) coin has increased by 87% in the past 30 days. The massive rise has been linked to a new move by the TON Foundation to integrate the TON coin across the Telegram social messaging app.
It is important to note that despite the latest development, the TON project still has no official affiliation with Telegram as a firm.
Unsurprisingly, the news of the integration has also affected the number of active TON holders on Ethereum.
Blockchain analytics platform IntoTheBlock reveals that the number of active TON addresses has increased seven times, surpassing the 300 mark for the first time since December.
The price of $TON has made a significant recovery in the last month. This increase has also resulted in a 7x+ increase in active $TON addresses on the Ethereum network. @ton_blockchain pic.twitter.com/7hfE29HfUt
— IntoTheBlock (@intotheblock) September 19, 2023
Additional on-chain data reveals an increase in the number of tokens transferred over the same timeline. The 1.2 million TON tokens (appr. $3 million) transferred on Sept.16 is the highest recorded on Ethereum since December.
While TON is an independent blockchain of its own, TON Coin on Ethereum exists as a wrapped asset, making it transferable across wallets and tradable on decentralized exchanges (DEXs). DEXs like Uniswap and Pancakeswap have also recorded a jump in TON trading volume following the Telegram news.
Telegram to Heavily Integrate TON Into Messaging Platform
TON’s recent outperformance in the broader crypto market comes from investors speculating on the value of full integration with Telegram.
Last week, the TON Foundation revealed it will heavily integrate the blockchain with the social messaging app, which reports 800 million active monthly users.
The TON Foundation unveiled plans to launch TON Space, a self-custodial wallet, within the Telegram app. The wallet will allow users to access all their digital assets on the social app and also engage with so-called mini apps.
For example, users can access platforms such as Fragment, a new marketplace that facilitates trading and auctions for Telegram usernames. The platform has already brought in $120 million, according to the TON Foundation.
Meanwhile, news of TON Network’s integration with Telegram is not entirely surprising. The blockchain’s relationship with the social media app has a long history. Paul Dirov and Nikolai Durov, the developers of Telegram, started the Open Network (TON) initiative in 2018 but suffered a setback when it entered into regulatory crosshairs with the United States Securities and Exchange Commission (SEC).
After the founders abandoned the project, an independent community of developers took over through the TON Foundation. While the founders at Telegram maintain no affiliation with the project, this community of independent developers has continued to improve it.