The Tokenization of Telegram – Full Analysis
Telegram is often referred to as the new WhatsApp. It appears to be a cross-platform app for messaging that offers its services to its users for free. However, nowadays it is recognized as much more than just a simple app for messaging. Telegram intends to use its experience developing encrypted data storage systems to create the Telegram Open Network (TON). TON is an ultra-fast, scalable and inherently secure blockchain technology project that is aimed at reducing transaction times and providing storage and hosting services to its clients. Its user – friendly and service – provider friendly interface combined with its decentralized multi – blockchain architecture, which will revolutionize the way payments are made in the financial industry. This will solve some of the current financial problems such as slow transaction times, transaction costs and network bandwidth.
In order to achieve the goals and objectives that the company has set ahead of itself, it has started out the Telegram ICO and has released its Telegram token which is also referred to as GRAM. Within the frames of this article we will try to take a good look at what was the Telegram ICO about, how good is the Telegram cryptocurrency doing and many other details.
What is Telegram Open Network (TON)?
Telegram is based in the UAE, Dubai and appears to be a registered company. It is based on the TON blockchain. Telegram coin type is also TON and the token has been the main incentive for people to invest in this project. Throughout Telegram ICO the company has put emphasis on the Know Your Customer aka KYC policy for the sake of security of the platform. Many people believe and invest in the Telegram ICO as it is already an established messaging platform around the world and hence has the technical expertise to develop a powerful blockchain system for the financial industry.
TON Use Cases
The Telegram Open Network is intended to host a homegrown cryptocurrency and decentralized application. One of the most outstanding features that are offered by the ICO is that the Telegram’s native cryptocurrency GRAM will give its payment system independence from interference by government. In the future, the people who use their IDs that are verified and are conjunct with bots, which accept credit cards, will get a chance to exchange cryptocurrencies in a legally compliant and frictionless way as the users of Telegram. These people will also have a unified entry point for such users who are willing to connect with bots that are offered by exchange services. This way Telegram hopes to create a healthy and competitive environment within its ecosystem. The groups, channels as well as the bots will all provide a ready market for a content that is paid along with subscription services.
Through making the donations or otherwise by paying exclusive access the users get to support content creators and publishers. In the meantime, bots bear a role of being virtual storefronts that accept orders that concentrate on the delivery of the physical goods. The goods and the services will be provided in the Telegram economy app, which is going to be supplied with the TON market.
Despite all of the new and revolutionary feature that Telegram is coming up with, it will stay loyal to its initial function and will include a very wide range of public group chats available for around thirty thousand people. In the meantime, the broadcasts are going to have millions of subscribers.
Telegram Open Network Team
Telegram is founded by Pavel and Nikolai Durov brothers, who are from Russia. These people appear to be founders of a social media platform known as VKontakte aka VK, which is often referred to as the Russian copycat of Facebook. The brothers later have initiated Telegram and now are working on the new Telegram ICO project. The Telegram ICO team also consists of 15 other world-class developers. The criteria for choosing the team members were either winning a worldwide contest in programming or participating in the multi-level coding competitions that are held by Telegram and getting a place one of the first positions.
The Telegram Coin
The co-founder of Telegram – Dr. Nikolai Durov has tried to come up with new solutions that would be able to meet criteria such as outstanding speed, scalability and would be ready for a mass adoption. He saw this as a problem especially due to the fact that cryptocurrencies keep getting more and more mainstream but yet do not manage to handle the traffic well enough with any of the blockchain platforms that exist today. This idea has to lead him to make thorough researches and this is how he has come up with the Telegram Open Network.
TON is using the Proof of Stake approach, through which it processes the nodes that are otherwise known as the validators. This is an opportunity for TON to put emphasis on the computing power of the nodes that are responsible for handling transactions as well as smart contracts. It also is a driving force to increase the overall speed and the efficiency. Another interesting thing about TON is that it grows new blocks that are valid on the top of the other blocks, which appear to be incorrect. This is designed so in order to avoid forks that are not very necessary. Because of such features, the overall mechanism is also referred to as a self-healing one and is a good way for saving resources and in the meantime a guarantee for the fact that the valid transactions are not going to be discarded as a result of errors that come up from a completely another reason.
TON Total Supply
The total supply of the GRAM tokens is 5 billion. The coin supply may increase as a way of rewarding validators. The increase will be an approximate 20 % of the validator’s stake. The GRAM/TON coin will be used to make validators deposits, payments for services such as transaction fees and as storage payments. The ICO intends to use the bulk – sale mechanism during its pre – ICO phase whereby the buyers will obtain GRAM at an average price during a defined period of time, for instance within a day.
Some venture – capital heavyweights have expressed a lot of interest terming the present time as a cryptocurrency boom. However, cryptocurrency investors are stepping back from the ICO terming as it is too ambitious and irrational while expressing their doubts on the actualization of the promises given.
It is important to mention that the Telegram crypto coin is designed for accredited investors who are interested in getting the Telegram services with some discounts. In other words, the GRAMs are utility tokens that somehow work similar to coupons, which offer the services of the startup and the new coin with discounts. As a security token, it is not as common for trading. Many people believe that GRAM may not be seen in various exchange lists, especially in the near future. In the meantime, the Telegram ICO investors will have a lockup period for about two years.
The distribution of the GRAM tokens is as follows;
- 4% aka 200 million GRAMs goes to the development team (however, it will be vesting for four years).
- The TON reserve retains the 52 % of the supply as a protection from the speculative trading and as a chance to keep flexibility at the initial stages of the system.
- The other 44 % aka 2.2 billion GRAMs were sold at the time of the public sale itself. This way the company hopes to create a fair price as well as the volume at the time of the token sale.
The Telegram pre-ICO has started in March 2018, and it finished on the 27th of May. It is important to mention that at the time of the ICO the company has offered a discount of 45 % from the base price of the ICO and the tokens were all sold in the pre-ICO rather than at the time of the ICO. When there were only six hours left before the pre-ICO ended there was only the 2.58 % (11,690,131 GRAMs out of 12 billion) of the tokens left and the price of 1 GRAM was 0.00061538 ETH or 0.00005599 BTC. The company has applied the private round differently and as a result, the private discount was a public pre-ICO with a 45 % discount from the base price that was set by the ICO. The total returned contributions were 6128 ETH or 417 BTC.
Telegram ICO price growth
During the ICO the initial price of one GRAM was 0.1 US Dollars. The Telegram ICO uses a special formula thanks to which, each subsequent GRAM to be sold in the ICO will have a price of a billionth higher than the previous GRAM. Hence the price will increase steadily from the first to the last GRAM sold. The formula is the following – pn: = 0.1 x (1 +10 -9) n USD. Thanks to this approach the price of the GRAM token has raised from the initial Telegram ICO price of 0.1 USD to around 0.4 USD just within one month, at the time of the pre-ICO. Thanks to this formula people have high hopes in Telegram ICO and believe that its rise will bring only to the good.
How to buy Telegram ICO?
In order to get Telegram coin, you need to direct to the official website of the company – ico-telgram.org. In the meantime, the people who were interested in TON coins they could get it from other websites as well.
It is important to note that before buying any crypto you need to get a compatible wallet. As the Telegram coin is not an ERC20 type of coin you need to use the special Telegram ICO wallet. The TON supports the so-called light clients that do not consume a large number of resources and can be run on various mobile devices. The light TON wallets are supposed to be built into an application of Telegram, which will let more than a million users store the funds they own on the TON blockchain safely.
The owners of the wallet will also be considered the sole holders of an encryption key that corresponds their scenario. The company has promised to double TON clients with the help of the Telegram applications for mobile and desktop and enable a safe transfer of value inside the TON blockchain as well as an interaction with smart contacts and TON applications.
The Telegram ICO is quite different from the ICOs that the crypto enthusiasts are used to deal with. It is unique with its solutions, the blockchain, and the overall setup. People mainly believe in this taking into account that it is founded by a group of pretty successful people who own platforms with millions of users.
We hope this article helped you to get a better idea about the Telegram ICO, Telegram coin and so on. Please check out our website for more crypto related content.