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    Decline of The Open Network: Evaluating the Factors Behind TON’s Falling Popularity and Token Value After Initial Growth Surge

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    The Open Network (TON), known for its rapid growth in 2024 credited to a partnership with the Telegram messaging app, is now witnessing a decline. While its incorporation into Telegram’s Mini Apps and games led to a substantial increase in popularity, network activity has fallen and TON-based token prices have dropped. Overhyped valuation and the withdrawal of free tokens by users have contributed to this slowdown. Despite this, experts believe in TON’s untapped potential, given its user base and opportunities for future applications.

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    The Open Network (TON), popularly known as the quickest growing blockchain in 2024, seems to be slowing down a bit. Not long ago, it was the talk of the town with an impressive achievement of 100 million wallets. This was all thanks to its partnership with the Telegram messaging app.

    Most people credit TON’s skyrocketing popularity to its incorporation into Telegram’s Mini Apps and games. According to Animoca Brands Chairman Yat Siu, they couldn’t find the right outlets for reaching people until Telegram decided to share their ecosystem with them.

    Easy access through Mini Apps and having a wallet right inside Telegram made it almost too easy for users to jump in and start using the blockchain.

    But the hype seems to be dying down a tad bit. Network activity has drastically fallen, and the prices of TON-based tokens have declined a lot. The initial rush of users who were lured in by freebies from games like Hamster Kombat and Notcoin has gradually subsided.

    In the words of Cointelegraph market analyst Marcel Pechman, “If you give stuff for free, nobody will value it,” which pretty much sums up why many users withdrew their free tokens as soon as they got them.

    Many experts believe another problem was the overhyped evaluation of TON last summer. Blockworks’ head of research Ryan Connor said, “TON was trading at a $40 billion valuation. That’s more than Nasdaq, even more than Coinbase, which just didn’t seem right.”

    When the market calmed down a bit, the price of the token fell due to the sell-off from early investors and game users.

    Regardless, experts still believe that TON has a lot of untapped potential. Despite the downturn, the sheer number of new users that hopped on board with TON’s wallet is a pretty significant advantage. It provides users with access to the network and gives them the opportunity to try out future applications.

    Ryan Barney, a partner at Pantera Capital, says, “They’ve already learned what crypto is. The question is, what sort of applications can we build for them in their wallet? He guesses that things like advertising, social commerce, and payments could be the direction to go.

    You can learn more about TON’s potential moving forward, beyond the hype of this year, by checking out the full video on our YouTube channel. Don’t forget to subscribe!

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