Pantera Invests $100M+ in Telegram-Linked Toncoin, Making It Its Largest Investment to Date
Date: 2024-08-29 Author: Oliver Abernathy Categories: BUSINESS
Pantera acquired Toncoin at a 40% discount to the market price earlier this year, Bloomberg reported. Given that the average price of the token was $6.32 in May, when the deal went public, the investment remains profitable so far.
However, Pantera is required to hold onto its Toncoin investment for a year before selling it off in installments over several years.
Toncoin’s Connection to Telegram
Toncoin is connected to the Telegram messaging app via the TON blockchain, which has been integrated into the app. This allows users to buy, sell, and trade Toncoin directly within Telegram. The wallet integration also allows for transactions, tipping, and other blockchain-based operations right in the app.
Toncoin’s Potential for Mass Adoption via Telegram
In May, Ryan Barney, a partner at Pantera, explained that the firm invested in Toncoin because it believes “TON has the potential for mass adoption of cryptocurrencies due to its extensive use within the Telegram network.”
He noted that due to Telegram’s huge user base, the Pantera team sees TON as an opportunity to become one of the largest cryptocurrency networks. Barney also emphasized that Telegram does not sell user data, and its popularity is driven by its promise of privacy.
More than a dozen other firms have also invested in Toncoin, including Animoca Brands and Mirana Ventures.
Toncoin Investor Concerns About Telegram’s Future
Toncoin investors are currently assessing the possible impact of France’s legal action against Pavel Durov on Telegram’s user base, Bloomberg reports. Under the terms of the deal, they agreed to hold their assets for at least one year.
Durov’s arrest raises concerns about the future of the project. His leadership played a key role in managing Telegram and integrating Toncoin into the ecosystem. The legal issues he faces could disrupt Telegram and impact the use and adoption of Toncoin.
Opinions on the future are divided. Some believe that blockchain projects like Toncoin, due to their decentralized nature, may not be as dependent on the participation of a single person as traditional companies. If the TON community and its supporters continue to support the project, it may survive these difficulties. However, the risk of regulatory action or a change in Telegram’s strategy remains a concern.
