Toncoin Boosts Telegram’s Digital Assets Portfolio to $1.3 Billion

Toncoin – How Telegram Is Monetizing Digital Assets with TONcoin and Collectibles Sales

Toncoin – Telegram’s cryptocurrency holdings have experienced a significant increase, climbing to $1.3 billion in the first half of 2024, up from $400 million at the end of 2023, according to a Financial Times report. This represents a threefold rise in the value of its digital assets, driven by profits from the sale of Toncoin (TON) and its ongoing involvement in The Open Network (TON) project.

Key Revenue Streams: Crypto Wallet and Collectibles

A substantial portion of Telegram’s revenue now comes from its digital asset activities, particularly from its integrated wallet and the sale of collectibles. These two sources contributed nearly 40% of the company’s total revenue. The integrated wallet is a feature within the app that allows users to store, send, receive, and trade cryptocurrencies. Meanwhile, the sale of collectibles includes virtual items like usernames and phone numbers, which can be sold to other users. Telegram generates revenue not only from selling these items but also from the fees it charges to facilitate the transactions.

During H1 2024, Telegram generated $525 million in revenue, a 190% increase compared to the same period in 2023. Of this, $353 million came from the sale of crypto assets, while the remaining $225 million was linked to a now-terminated exclusivity agreement that made TON tokens the only currency for ads on Telegram.

TON Price Volatility Amid Legal Challenges

Telegram’s exposure to Toncoin (TON) has introduced some volatility to its crypto portfolio. Following Pavel Durov’s arrest in August, the price of TON dropped by 25% but later rebounded, reaching $6.32 in late November. Despite the price fluctuations, Telegram continues to capitalize on its crypto investments, despite facing regulatory challenges.

Telegram’s Expanding Global Reach

Telegram, with nearly 950 million active users in 2024, remains one of the world’s most popular messaging platforms. It is the third most downloaded app globally, following WhatsApp and Snapchat. Telegram has long allowed channel owners to monetize their audiences through various methods, including paid posts and membership fees.

Despite legal issues, including recent charges against founder Pavel Durov related to illicit use of the platform, Telegram’s valuation is estimated at $30 billion, highlighting the company’s continued growth and crypto-driven success.