Telegram-Linked Toncoin (TON) Hits ATH Amid IPO Speculations
Toncoin (TON) reaches a new all-time high amid speculation that Telegram’s founder may consider an initial public offering (IPO).
According to CoinMarketCap, the price of Toncoin briefly exceeded the $7 mark and broke its historical record. As Toncoin’s market cap surpassed it of Cardano (ADA), statistics show that TON is now the ninth biggest coin in the market, ranked above Cardano and Avalanche.
Though the current trading price has slightly dropped by 0.3% over the past 24 hours to $6.8, its trading volume in a day still rose by 20% and demonstrated popularity among investors.
Telegram Plans to Go Public: Pavel Durov
In a previous Financial Times report published in March, the founder of Telegram Pavel Durov indicated his interest in seeking an IPO instead of a private sell-off. Durov stated that Telegram is finally going to make profits in the interview with FT.
“We are hoping to become profitable next year, if not this year,” said Durov. As he owns the entire company, Durov revealed that Telegram currently has 900 million monthly active users and makes “hundreds of millions of dollars.”
Durov also disclosed that the company has received valuation offers exceeding $30 billion from potential investors, including major global tech funds. Despite these offers, he has decided against selling the platform to maintain its independence.
“The main reason why we started to monetize is because we wanted to remain independent,” Durov explained. He added, “Generally speaking, we see value in [an IPO] as a means to democratize access to Telegram’s value.”
“TON Society, a community of developers and contributors building out the #TON ecosystem, will distribute 1M $TON to users participating in the voluntary proof-of-personhood program. The project aims to enable digital identity verification for…
— TON (@ton_blockchain) April 8, 2024
Potential IPO in US?
In addition, FT reported that two sources familiar with Telegram’s strategic plans indicated that the company is likely to pursue a U.S. listing once it achieves profitability and the market conditions are favorable.
Although Pavel Durov did not specify a timeline or potential listing venue, he mentioned that the company has explored multiple options for its initial public offering.
Besides, Durov expressed that in the event of an IPO, Telegram might offer shares to its dedicated users, mirroring Reddit’s recent strategy to allocate shares to retail investors before its listing in New York.
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