Why is Toncoin (TON) up nearly 44% for the month
Toncoin (TON) is a cryptocurrency that has experienced notable gains over the past few days, despite the bear market affecting many other coins in the top 100 list by market capitalization. It is not clear why Toncoin has been on an uptrend, but it is possible that it has gained traction due to positive news or developments related to the token or its underlying technology. It is always important to do thorough research and analysis before investing in any cryptocurrency, as the market can be volatile and subject to significant price fluctuations.
Toncoin (TON) is a cryptocurrency that has experienced notable gains over the past few days, despite the bear market affecting many other coins in the top 100 list by market capitalization. It is not clear why Toncoin has been on an uptrend, but it is possible that it has gained traction due to positive news or developments related to the token or its underlying technology. It is always important to do thorough research and analysis before investing in any cryptocurrency, as the market can be volatile and subject to significant price fluctuations.
What is Toncoin (TON)?
Toncoin is the native cryptocurrency of The Open Network (TON) blockchain. It was founded in 2018 by the Durov brothers, who are also the founders of the Telegram instant messenger app. TON is a community-driven, layer-one blockchain network created to offer quick, affordable and energy-efficient transactions.
It runs on the proof-of-stake consensus mechanism and supports sharding, making it highly scalable. It was designed to on board and handle the needs of millions of users making everyday transactions. In this regard, the network also supports a range of decentralised apps, catering to the needs of its broad user base.
The main idea behind creating the network was to bring digital assets and crypto payments to the masses. This seemed simple considering that Telegram has more than 500 million users, who could be potential TON users through a simple integration of both platforms.
Given the current bear market, most coins in the top 100 list (by market capitalisation) are deep in the red. However, one token that has managed to buck the trend over the last few days is Toncoin (TON). Despite the bitter crypto winter, it posted impressive gains over the previous week, month and 90 days as well. But what is Toncoin (TON), and why is it on an uptrend? Tag along to find out.
What is Toncoin (TON)?
Toncoin is the native cryptocurrency of The Open Network (TON) blockchain. It was founded in 2018 by the Durov brothers, who are also the founders of the Telegram instant messenger app. TON is a community-driven, layer-one blockchain network created to offer quick, affordable and energy-efficient transactions.
It runs on the proof-of-stake consensus mechanism and supports sharding, making it highly scalable. It was designed to on board and handle the needs of millions of users making everyday transactions. In this regard, the network also supports a range of decentralised apps, catering to the needs of its broad user base.
The main idea behind creating the network was to bring digital assets and crypto payments to the masses. This seemed simple considering that Telegram has more than 500 million users, who could be potential TON users through a simple integration of both platforms.
A short history of TON
As mentioned earlier, TON was founded in 2018 and was previously known as Gram. Given the founders’ previous success with Telegram, the project was highly anticipated and received tremendous support from the community. It even recorded the second-largest token sale in crypto history after raising $1.7 billion for the project’s development.
However, things started to go downhill from this point. To begin with, there were several scams on Twitter, with miscreants hosting fake ICOs for the project and duping eager investors of their hard-earned money.
In 2019, the US Securities and Exchange Commission (SEC) filed a complaint against Telegram, stating that the sale of Gram was considered an unregistered distribution of securities.
TON lost the case in 2020 and was ordered to return $1.2 billion to investors and pay $18.5 million in civil penalties. Around the same time, the Durov brothers ended Telegram’s participation in the development of Gram. The project was shelved for a while before being resurrected by its community of crypto enthusiasts and renamed as TON.
This was possible because Gram was developed as an open-source network, and its code was readily available on GitHub. This allowed community developers to continue development and provide us with the TON network we are familiar with today.
Why is TON rallying?
Toncoin (TON) is a cryptocurrency that has recently seen significant gains in price. Over the past week, TON has registered a 27% increase, making it the top performer among the top 100 cryptocurrencies by market capitalization. TON was trading at $2.32 at the time of writing, representing a 38% increase over the past month and a 41% increase over the past 90 days. The sudden price gains of TON may have been influenced by a number of factors, including the listing of TON on the KuCoin exchange, the announcement that the Ethereum-BNB Smart Chain bridge was nearing completion, and the ability for users to purchase anonymous phone numbers from Telegram’s Fragment platform using TON. It is important to note that the cryptocurrency market is highly volatile and subject to significant price fluctuations, so it is essential to carefully consider all factors before making any investment decisions.
Conclusion
Telegram is focusing on a deeper integration of blockchain in its instant messaging app. This was the reason why its launched Fragment in Oct this year. The platform has already amassed $50 million through the sale of its in usernames/anonymous phone numbers. Toncoin could also play a further role in developing Telegram’s blockchain aspirations. And this is nothing but good news for the platform’s native token and those who own it.