Telegram’s total cryptocurrency holdings hit $1.3 billion in the first half of 2024, which was $400 million at the end of the year 2023. This growth was fueled by Toncoin sale and some other financial activities highlighted the company as one of the major players in the digital asset ecosystem. The recent report has sparked discussions if Telegram’s crypto holdings could continue to grow at this pace.
Telegram’s $1.3B Crypto Holdings Mark 3X Growth in Just Six Months
In a recent publication, Telegram has ramped up its crypto position and tripled it during the first half of 2024. The company’s holding grew from $400 million at the end of the fiscal year of 2023 to $1.3 billion by mid of the fiscal year 2024. The increase in sales revenue was due to the $353 million sale of Toncoin, the crypto associated with The Open Network (TON).
Additionally, the social media platform leveraged a $225 million exclusivity agreement that made Toncoin the only payment method for small businesses purchasing ads on its platform. Though this deal ended on October 1, it provided a substantial boost to the company’s income.
Following the partnership, TON price has increased over 150% to $5, with a peak near $7.00 in the past year. Meanwhile, recent analysis suggests that TON price could reach the $10 mark, driven by current bullish trends and increased trading volumes.
Revenue Soars by 190%, Supported by Crypto Sales
During the first half of 2024, Telegram recorded $525 million in revenue, a 190% year-on-year increase compared to the same period in 2023. Major sources of this growth included cryptocurrency transaction income, advertising and premium subscription services.
Advertising revenue nearly doubled, reaching $120 million, while premium subscription services generated $119 million, up from $32 million. These financial strides demonstrate Telegram’s ability to diversify its income streams while capitalizing on the expanding digital asset market.
While the social media app demonstrated strong financial performance, its CEO, Pavel Durov, faced legal challenges in France. In August 2024, authorities detained Durov, accusing him of failing to address illegal activities on Telegram’s platform. This included concerns about child abuse and terrorist content. However, Durov was released on bail but remains restricted from leaving France as investigations continue.
Despite these legal challenges, the social media app has assured stakeholders that its operations remain unaffected. The company has addressed regulatory concerns by expanding its content moderation team and updating policies to international standards.
The surge in crypto holdings suggests that Telegram is well-positioned for continued expansion in the digital asset space. As the company builds on its initiatives, its crypto holdings will boost further innovation.
The post Will Telegram’s Crypto Holdings Keep Rising After Reaching $1.3B in H1 2024? appeared first on CoinGape.
