💼 Telegram Holds $400 Million in Crypto Despite CEO’s Arrest!
Telegram reportedly held $400 million in digital assets at the end of 2023, as per its financial statement. Despite its growth, Telegram faced a tumultuous year with an operating loss of $108 million on revenue of $342.5 million. Interestingly, about 40% of this revenue came from crypto activities, including an integrated wallet and the sale of digital collectibles such as usernames and virtual phone numbers.
The app’s user base has expanded significantly, with premium users increasing from four million at the end of 2023 to over five million currently. While Telegram has seen some financial challenges, its crypto holdings and diversified revenue streams show its commitment to innovation in the digital space.
However, the arrest of CEO Pavel Durov on August 24, charged with serious offenses including terrorism, fraud, and money laundering, has cast a shadow over the company’s future. Durov's arrest could signal a shift in Telegram's operations, especially in its crypto-related activities, which are a significant part of its revenue.
TON, the native cryptocurrency of The Open Network originally developed by Telegram, experienced a price drop of over 21% following Durov’s arrest, reflecting market uncertainty. As of now, TON trades around $5.30, down from $6.70 just a week ago, according to CoinMarketCap. The coin’s market cap has also taken a slight dip, losing nearly 2% to settle at $13.42 billion.
Despite this downturn, some analysts believe that TON could rebound if the market views the arrest as an isolated incident that doesn't fundamentally affect the ecosystem. If traders interpret the dip as a short-term panic reaction, this could be seen as a buying opportunity. As always in crypto, volatility brings both risk and opportunity.
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