TON Token Economics

Basic Data

Several core data of TON tokens are as follows:

(1) Initial supply: 5 billion

This initial supply is relatively large, which is why the price of TON tokens did not rise for a long time at the beginning.

(2) Supply: There is no upper limit, and it will increase by about 0.6% each year

The inflation rate of TON tokens is relatively low, in fact, lower than the inflation rates of Bitcoin and gold, which are 0.85% for Bitcoin and 1.64% for gold.

(3) Current supply: 5.1 billion

Relative to the initial supply, only 100 million tokens have been added in the past 4 years.

(4) Current circulation: 2.4 billion

The circulation rate is 47.61%. Among the top ten tokens in terms of market value, the circulation rate is relatively low, indicating that there are more locked positions in the short and medium term, which is conducive to the increase of coin prices, but in the long run, the selling pressure is relatively large.

(5) Current price: $8/coin (June 16, 2024)

In June 2022, the lowest price of TON was $0.73. After a bear market, the price has increased 7 times in the current bull market.

(6) Market value: $17 billion

For the Solana public chain, which is also driven by strong capital, the current market value of SOL tokens is $70 billion, so the market value of TON is not large.

(7) Total market value: $40 billion

At the peak of the last bull market, SOL's total market value was $150 billion, and now it is $90 billion, so the ceiling of TON's total market value is still very high.

The application scenarios of TON tokens are mainly divided into two types: public chain handling fees and Telegram service fees.

Telegram has built a platform called Fragment, where users can purchase various Telegram services through TON, which mainly include 4 service scenarios:

(1) Purchase a username: Each username is an NFT that can be traded freely. The username is mainly for social display;

(2) Purchase a mobile phone number: A mobile phone number is required to register a Telegram account, but users can further enhance privacy by purchasing an anonymous number on the Fragment blockchain using Toncoin;

(3) Purchase a membership: Includes multiple advanced features within the Telegram application, such as more cloud space, voice-to-text, real-time translation, etc.;

(4) Purchase advertising services: Advertisers use TON to purchase advertising services and can launch their marketing campaigns. The funds are divided equally between Telegram and content creators;