The Open Network (TON), formerly known as the Telegram Open Network, has experienced a surge in activity and user adoption in recent months. This growth can be attributed to several factors, including integration with the popular messaging app Telegram and the rise of play-to-earn games built on the TON blockchain.
From Telegram to Open Network: A Brief History
Initially launched by Telegram, a messaging platform boasting over 900 million users, TON faced regulatory hurdles from the US Securities and Exchange Commission (SEC). Despite this setback, the open-source community continued development, with Telegram itself remaining supportive of the network.
Telegram Ad Revenue Sharing: A Win-Win for Creators and TON
In February 2024, Telegram announced a game-changing update: ad revenue sharing. This program splits ad profits 50/50 between channel owners and Telegram. Notably, payouts are made in TON’s native token, toncoin, directly facilitated through the TON network.
This move aimed to onboard Telegram’s massive user base into the TON ecosystem. With Telegram channels generating a staggering 1 trillion views a month, even a small percentage monetizing through ads could significantly boost TON adoption. Toncoin earned through ads can be cashed out or reinvested back into channels for promotion and upgrades, creating a self-sustaining loop.
Tether Integration and the Rise of Play-to-Earn Games
The launch of USDT, Tether’s dollar-pegged stablecoin, on TON in April 2024 further fueled network activity. This integration allows TON users to easily access USD liquidity, a key factor for broader adoption. The success of USDT on TON is evident, with the supply surpassing 500 million within two months of launch.
Beyond finance, Telegram-based play-to-earn games like “Notcoin,” “Hamster Kombat,” and “Catizen” have emerged as major drivers of user engagement. These “tap-to-earn” games reward users with in-game currencies that can be converted into real-world airdrops through TON. This phenomenon mirrors the success of “Tapos” on Aptos, highlighting the potential of clicker games to attract users and promote token adoption.
TON’s Meteoric Rise: A Look at the Numbers
The impact of these developments is undeniable. Toncoin has skyrocketed in popularity, currently ranking as the ninth-largest cryptocurrency by market capitalization, with a valuation exceeding $18 billion – more than double its value at the beginning of 2024.
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TON’s total value locked (TVL) has also seen a dramatic increase, surpassing $600 million this month, having reached $300 million just three weeks prior. Transaction volume and active addresses on the network paint a similar picture. The 7-day moving average of transactions has risen from 645,000 in January 2024 to a staggering 5 million currently. Likewise, active addresses have surged from 26,000 to over 340,000 during the same period.
Bullish Outlook for TON: A Network Poised for Continued Growth
The upward trends in TON’s usage metrics are undeniable. Crypto venture capital firm Pantera Capital’s recent investment, their largest ever, further underscores the bullish sentiment surrounding TON. With its vast user base through Telegram integration and a thriving play-to-earn ecosystem, TON appears well-positioned for continued growth in the years to come. While the long-term sustainability of this growth remains to be seen, one thing is certain: TON has crossed a critical threshold, leaving behind pre-2024 activity levels for a more dynamic future.
Disclaimer: The information in this article is for general purposes only and does not constitute financial advice. The author’s views are personal and may not reflect the views of Chain Affairs. Before making any investment decisions, you should always conduct your own research. Chain Affairs is not responsible for any financial losses.
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