The company has become one of the largest holders of Toncoin (TON), the native token of The Open Network. According to AlphaTON, its goal is to grow its Toncoin treasury to $100 million by the end of 2025.

AlphaTON wants to invest $100 million in Toncoin

The Nasdaq-listed company closed a $71 million financing round back in early September. The financing round included a $36.2 million private placement of 6.32 million shares. In addition, AlphaTON secured a $35 million loan facility with BitGo Prime. The ex-biotech company stated that it aims to acquire $100 million worth of Toncoin (TON).

In the release, AlphaTon announced, “A financing to acquire ~$100 million TON tokens and establish a specialized digital asset treasury company dedicated to building a strategic TON reserve and providing public markets access to Telegram’s rapidly expanding ecosystem of more than a billion monthly active users.”

Beyond accumulating Toncoin, the firm says it wants to generate yield revenue via blockchain validation and staking rewards. The new DAT also wants to back projects within Telegram’s mini-app and DeFi ecosystems. AlphaTon has strategic crypto partners and advisors, including BitGo, Animoca Brands, Kraken, SkyBridge Capital, and Crypto.com, among others.

The company is led by CEO Brittany Kaiser, a former director at Gryphon Digital Mining. Executive Chairman Enzo Villani, co-founder of Nasdaq Global Corporate Solutions, is also part of AlphaTon’s leadership. Kaiser said, “Today marks a pivotal moment in AlphaTON Capital’s journey as we officially establish ourselves as a premier digital asset treasury company with substantial TON holdings.”

AlphaTon is following in the footsteps of Michael Saylor’s Bitcoin strategy playbook, but through Toncoin. The Nasdaq-listed firm is copying Ton Strategy, which is another firm that accumulated more than $700 million in TON last month. AlphaTON’s stock closed at $5.77 on Friday. The stock slipped by around 9.8% from the previous session based on data from Yahoo Finance.

On the other hand, Toncoin (TON) is currently trading at $2.75. The token has a 24-hour trading volume of $139.9 million and a market capitalization of $6.99 billion based on aggregated data from CoinGecko. Toncoin surged massively during Telegram’s mini-game boom in 2024. The token recorded an all-time high of $8.25 but has since fallen about 60% from its peak. The coin now ranks 32nd by market cap.

The post AlphaTON Capital pivots into crypto with Toncoin purchase first appeared on Coinfea.

Toncoin was Telegram’s internal token when it was first created but is now managed via an open-source community. The switch was due to the legal battle between Telegram and the United States Securities and Exchange Commission (SEC) in 2020. As part of its agreement, Telegram received payment to allow Toncoin to become open for small businesses looking to advertise on the platform.

Telegram’s revenue surge tied to Toncoin

According to official reports, over $250 million, representing half of the entire figure was traced to one transaction. The report also revealed that the company sold digital assets worth $355 million in June, representing most of its first half-of-the-year sales. Since then, Telegram has sold over $350 million worth of Toncoin tokens.

Before Durov’s incarceration, Telegram was on course for its first annual profit. The company posted a profit of $335 million in the first half of 2024 after taxes. However, its $173 million loss means it was more than $342 million in annual revenue, according to Telegram’s estimates.

With the TON blockchain open to the public, projects moving there. There are rumors that some of the projects share ties with Durov, who is still facing several allegations. One such is his refusal to address the constant criminality on the platform. Since his arrest, the token has been dropping, with most people crediting its 10% drop to the arrest of its CEO.

Durov’s multi-billion fortune and other details

Telegram CEO Pavel Durov holds a crypto fortune alongside the messaging platform Telegram. However, reports note that the company’s debt financing funds raised will mature in 2026. Reportedly, the platform has also used some of its funds to purchase bonds for $124 million. The platform also recorded an increase in its advertising revenue, seeing as much as double to hit $120 million.

The platform’s premium subscribers were responsible for about $119 million, a huge figure compared to the $32 million revenue in 2023. An insider source has also revealed that the company has sold some of its crypto assets, taking advantage of the surge in the crypto market. However, most of these assets are linked to Durov, facing charges in France.

The Telegram CEO is facing charges, looking at about 10 years for a single one. He is still on bail but has been mandated to remain in France. As a result, Telegram’s are still raging below face value, although they have recovered from the previous drop after he was arrested. This does not mean they’re in a good place, after trading as low as 87 cents in August.

The company has also informed investors and stakeholders that operations are still going as usual, noting that the development does not affect its activities. It revealed that the person of interest was Durov and not Telegram. The company also defends its practices in content moderation and cooperation with authorities. However, it noted that it is looking into its content review practices and recruiting members to its moderation team.

The post Telegram crypto holdings hit $1.3 billion after Toncoin boost first appeared on Coinfea.

Major airdrops on the horizon

Toncoin’s ecosystem will witness multiple high-profile airdrops this month, with the most notable event expected toward the end of September. The Hamster Kombat tap-to-earn game is scheduled to airdrop before September 26, with trading anticipated to commence shortly after that.

Catizen, a top game featuring Web2 elements and token farming, will launch its token on September 20. The project is securing trading platforms and awaiting a spot trading pair on OKX. Catizen aims to attract over 500,000 users who own and trade the CATI token.

The Lost Dogs project is poised for its listing this Thursday. This initiative combines an NFT collection with a mini-app connected to the Notcoin ecosystem and features daily challenges based on collectible cards.

Growing anticipation for community airdrops

The Toncoin ecosystem is also preparing for significant airdrops from leading Telegram communities. The MemeFi Club airdrop is scheduled for October 9, with the token community boasting over 15 million members. 

Blum, a crypto community with over 21 million subscribers, has yet to announce a specific airdrop date but plans to launch in Q4. Tapswap, another large community with over 25 million subscribers, is also expected to roll out an airdrop soon, though an exact date has not been confirmed. Other notable airdrops will include Ton Station, Major of Telegram, Cats, X Empire, and Pocket Fi, all popular for their idle gameplay and challenges.

Toncoin’s expansion through token launches

Token launches have become a crucial growth driver for the Toncoin ecosystem, which recently surpassed 1.1 million daily active users. As of September 7, Toncoin’s network activity peaked, with new tokens contributing to this growth. Toncoin holders have doubled since June, with over 60.9 million owners of ‘jettons,’ Toncoin’s native token standard.

The Toncoin ecosystem, valued at $14.8 billion, has a small market capitalization relative to its peers, with TON accounting for $13.1 billion. The network’s second-largest asset, Notcoin (NOT), has yet to reach a $1 billion market cap.

With the launch of more tokens, the Toncoin ecosystem is expected to expand further. The recent DOGS token launched just days ago, maintains a market cap of over $500 million while trading at $0.001. The Toncoin network generates daily fees above $150,000, though it incurs expenses exceeding $300,000 daily. Validator incentives remain the network’s primary expense, with $3.53 million in monthly revenue from fees and $10.5 million in validator incentives, according to Token Terminal data.

Toncoin’s recent price recovery to $5.20 from a low of $4.80 has renewed interest in its ecosystem. The network’s expanding ecosystem and ongoing airdrops are expected to drive further growth and engagement in the coming months.

The post Toncoin’s High-Profile Airdrops and Listings Expected This Month first appeared on Coinfea.

Toncoin’s growing user base

Toncoin’s user base has grown significantly, although it still lags behind some competitors. With more than 7 million active monthly users, Toncoin is establishing itself as a significant player in the blockchain space. This growth has allowed Toncoin to surpass Arbitrum, which saw its active user count drop to 2.9 million, down from a peak of 9.8 million. 

Toncoin is emerging as a successful layer-1 network despite not being compatible with the Ethereum Virtual Machine, which limits its access to Ethereum users and liquidity. The network’s growing user base now positions Toncoin similarly to Solana’s early 2024 trajectory, which currently boasts over 40 million active users.

Drivers of Toncoin adoption

Several factors are driving Toncoin’s adoption. Tap-to-earn games incorporate familiar Web2 gameplay features and have maintained high activity levels. Social media groups within the Toncoin community, particularly those on Telegram, have played a crucial role in organizing daily challenges that attract users. 

The recent DOGS token distribution significantly impacted the network, boosting the number of active wallets to over 700,000 daily. The Toncoin community’s engagement is further strengthened by leading Telegram groups, such as Hamster Kombat and TapSwap, which have been pivotal in maintaining user interest. The ongoing success of tap-to-earn games and the influence of Telegram advertising, which has been active since March, continue to drive Toncoin’s growth.

The DOGS token launch also resulted in a surge of new users, contributing to Toncoin’s highest activity levels. The community’s anticipation remains high as the network prepares for its second major airdrop related to Hamster Kombat. The upcoming airdrop, scheduled for September 26, follows a crackdown on Sybil users, with over 50% of point-farming accounts being reset. Despite these challenges, the Hamster Kombat game is expected to draw significant attention, competing with other meme tokens and potentially converting some of Telegram’s 54 million subscribers into active crypto traders and investors.

Challenges in value retention

Despite Toncoin’s growing user base and on-chain activity, the network has faced challenges in retaining its value. The most notable outflow occurred on August 26, when over $3.13 million in value was withdrawn from Toncoin’s decentralized trading pools. This outflow contributed to a decline in the network’s total value locked, which has dropped from nearly $900 million at its peak to $340.7 million.

Toncoin’s decentralized finance (DeFi) protocols have struggled, partly due to the network’s inability to host versions of popular DeFi apps like Uniswap or Aave. Instead, Toncoin relies on native decentralized exchanges (DEXs) and protocols to maintain its ecosystem. The project’s native token, TON, recently faced a price drop, falling below $5, with a market cap of $12.8 billion. Despite these setbacks, TON remains a popular token and continues to attract attention, even becoming a target for hackers.

While Toncoin has faced challenges in value retention, its growing user base and community engagement suggest that the network remains a significant player in blockchain. As Toncoin continues to expand, its future success will depend on its ability to overcome these challenges and maintain its momentum.

The post Toncoin Chain Thrives Despite Telegram Crackdown first appeared on Coinfea.

Show of confidence in Toncoin

Grachev’s decision to invest in Toncoin is a decisive vote of confidence in the TON blockchain. He disclosed that the purchase was made on the open market, with plans to hold the tokens until Durov is released. In his message, Grachev highlighted his commitment to supporting uncensored and decentralized technology, stating that this acquisition ensured the community remained united.

Grachev stated, “We cannot do too much, but I decided to support what I could by buying approximately $500K in TON on the open market. I will keep these funds on-chain until Durov is freed. This is not financial advice.”

This investment is critical for Toncoin, which experienced a significant drop in value following the news of Durov’s arrest. Data from CoinMarketCap revealed a 20% decline in TON’s price, with the token hitting a low of $5.249. The decrease was primarily attributed to market panic and increased selloffs, with the 24-hour trading volume surging by 892% to reach 2.48 billion. However, the token has shown signs of recovery, trading at $5.864, possibly buoyed by acquisitions like Grachev’s.

Toncoin Price Performance (Source: Tradingview)

Crypto community rallies behind Durov

The arrest of Pavel Durov has sparked an outpouring of support from the crypto community, with many advocating for his immediate release. Durov’s supporters believe the arrest is an attempt by authorities to pressure him into allowing government censorship on Telegram. Among those voicing their support is **Elon Musk**, who joined the growing chorus by posting the #FreePavel hashtag on social media.

Various projects within the crypto ecosystem have also spoken out, including the popular Telegram-based game Hamster Kombat. The game’s developers described Durov’s arrest as an attack on freedom of speech and urged their followers to stand up for the Telegram founder, who has long championed users’ rights to privacy in online communications.

TON Blockchain remains operational

Despite the controversy surrounding Durov’s arrest, the TON Blockchain network has reassured its community that it remains fully operational. In an official statement, the network emphasized its commitment to freedom of speech and decentralization, calling on the community to stay united during this period.

The statement from TON Blockchain reads, “The TON community remains focused on our mission and will continue our work to uphold these principles globally. We encourage everyone to stay calm and united as we navigate this situation. Thank you for your continued support.

The TON network’s claims of decentralization have remained intact. Some critics within the crypto community have questioned the extent of the network’s decentralization, pointing out that a small number of holders controls a significant portion of TON tokens.

The post DWF Labs Acquires $500K in Toncoin to Back Arrested Telegram CEO first appeared on Coinfea.

The regulatory landscape in the United States, particularly the Securities and Exchange Commission’s (SEC) past legal actions against Telegram, the progenitor of TONcoin, casts a long shadow over its potential inclusion on these platforms.

Regulatory hurdles stemming from SEC litigation

The primary challenge for TONcoin’s listing stems from the 2019 lawsuit by the SEC against Telegram, which initially aimed to distribute Grams tokens. This legal battle concluded with prohibiting the sale of Grams, affecting the global availability of the tokens due to concerns that they might re-enter the U.S. market. 

Although TONcoin has since rebranded and pivoted in its approach, the repercussions of this lawsuit continue to deter major exchanges, especially those like Coinbase, which are sensitive to U.S. regulatory climates, from listing the token.

Competitive threats and market dynamics

Moreover, TONcoin’s robust network activity, which includes nearly 600 million USDT in circulation and a daily user engagement that rivals Ethereum, positions it as a direct competitor to established blockchain ecosystems such as Binance Smart Chain and Ethereum. 

Alastair Caithness, a blockchain commentator, suggests that Binance may view TONcoin as a formidable contender, which could impede its listing to avoid promoting a rival platform. This competitive landscape is further complicated by TONcoin’s innovative features, like trading bots and mini-apps, that enhance its blockchain’s utility and appeal.

Association with telegram and market positioning

Another factor is TONcoin’s ongoing association with the Telegram messaging platform, which remains a double-edged sword. While Telegram provides a vast user base and facilitates numerous crypto-related activities, its integration with TONcoin through various applications and ad programs links the cryptocurrency closely to Telegram’s operational and regulatory risks. Despite these challenges, the TON ecosystem continues to thrive, as reflected by the introduction of Notcoin (NOT), listed on Binance, and its strong market performance.

As TONcoin navigates the complexities of cryptocurrency regulations and market competition, its journey toward broader exchange listings remains to be determined. Its robust technology and deep integration with Telegram offer unique advantages but present significant hurdles that need careful navigation to achieve mainstream trading acceptance on platforms like Coinbase and Binance.

The post Why TONcoin May Not List on Coinbase and Binance first appeared on Coinfea.