Telegram's self-custodial crypto wallet is now available
Telegram has teamed up with the TON Foundation to introduce TON Space, a self-custodial cryptocurrency wallet for its approximately 800 million users. The wallet is now accessible within Telegram's settings, with a global rollout planned for November, excluding the United States and certain other countries. This partnership marks a significant change in direction after Telegram abandoned the TON project in 2020 due to a lawsuit from the United States Securities and Exchange Commission (SEC).
SEC lawsuit halted original TON vision
Telegram co-founder Pavel Durov initially envisioned TON as a means to facilitate cryptocurrency transactions within chats and monetize the messaging app. However, the SEC filed a lawsuit against Telegram in 2019, alleging that the project raised $1.7 billion through an initial coin offering (ICO) involving a token called Grams, which constituted an offering of unregistered securities. Telegram eventually settled with the SEC, agreeing to reimburse investors for any unspent funds and pay an $18.5 million fine.
Community organizations revived the TON project
After Telegram's withdrawal from TON's development, various community organizations emerged to keep the project alive, including initiatives like FreeTon, NewTON, and the TON Chinese Community. The TON Foundation, now registered as a nonprofit organization in Switzerland, has unveiled its self-custodial digital wallet, TON Space. The proof-of-stake blockchain platform aims to offer a user experience similar to popular social applications like Telegram and has invited builders to contribute to mass adoption.
TON-Telegram collaboration will boost blockchain adoption
The TON Foundation has announced that projects developed on the TON platform will receive preferential access to Telegram's advertising platform, Telegram Ads. This collaboration between TON and Telegram highlights the synergy between the two entities, despite Telegram's previous withdrawal from TON's development due to the SEC lawsuit. With the TON Space wallet now accessible to Telegram's vast user base, this partnership aims to bring cryptocurrency transactions and blockchain technology closer to mainstream adoption.
