Recent developments in the blockchain sector have drawn significant attention. Telegram’s The Open Network (TON) now boasts more daily active addresses than Ethereum, as observed throughout this month. This rise in activity, likely driven by Telegram’s vast user base, has been noted by various firms. However, experts caution that the data may not fully encapsulate the entire scenario.
What is Driving TON’s Growth?
On June 10, Delphi Digital reported that TON’s growth, bolstered by Telegram’s substantial 900 million user base, has consistently outpaced Ethereum in daily active addresses. Despite these promising figures, Delphi Digital suggests that TON’s long-term performance remains to be seen as it is still in an experimental phase on Telegram.
Artemis data, which tracks unique wallets making daily transactions, indicates that TON and Ethereum have been competitive since May 17, the day TON first surpassed Ethereum. By early June, TON had gained a significant lead, surpassing Ethereum on 10 out of the first 11 days of the month. Ethereum, on the other hand, has not reached comparable activity levels since mid-September 2023.
Telegram’s Role in Blockchain Activity
A considerable number of Ethereum’s transactions have migrated to Layer-2 networks, with user activities shifting towards these scaling solutions. For instance, on June 11 alone, the top three Ethereum Layer-2 networks—Arbitrum, Base, and Optimism—recorded a combined total of 1.3 million daily active addresses.
Ethereum co-founder Vitalik Buterin advocates for Layer-2 networks to enhance the main blockchain. The surge in TON’s activity might be linked to Telegram’s integration of the Tether (USDT) stablecoin and the 35 million users who have joined Notcoin since its recent launch. Additionally, Telegram’s introduction of Telegram Stars, an in-app currency for purchasing crypto assets, on June 6, and the continued popularity of Telegram trade bots, have further contributed to its network activity.
Key Takeaways for Blockchain Enthusiasts
• TON’s success is closely tied to Telegram’s massive user base.
• Ethereum’s Layer-2 solutions play a crucial role in its ecosystem, possibly skewing direct comparisons.
• Integration of popular stablecoins like USDT can significantly boost network activity.
• New in-app features and trade bots are vital drivers of user engagement on blockchain platforms.
Conclusion: While TON’s growth is notable, the comparison with Ethereum may not be entirely equitable due to the latter’s diversified transaction landscape across Layer-2 networks. Telegram’s strategic integrations and features are key contributors to TON’s rising activity. The future of TON will depend on sustained user engagement and further technological advancements.