Telegram’s “The Open Network” (TON) blockchain has outpaced Ethereum in daily active addresses for 10 out of the past 11 days. However, these figures don’t account for Ethereum’s layer 2 (L2) solutions, which play a significant role in its ecosystem.
The Quiet Rise of TON
According to Delphi Digital, TON’s increase in daily active addresses is driven by Telegram’s substantial user base, which numbers around 900 million. Delphi Digital referred to this trend as “The Flippening CT ignores,” suggesting that TON’s growth might be overlooked by the broader crypto community.
Delphi Digital stated, “TON’s quiet growth, fueled by Telegram’s 900M user base, has driven its daily active addresses above Ethereum,” while also questioning the sustainability of this growth.
Comparative Data
Data from Artemis indicates that since May 17, TON and Ethereum have been competing closely in daily active addresses (DAA), defined as the number of unique wallets making daily transactions. TON took a lead in early June, surpassing Ethereum on most days, peaking at 568,300 DAAs on June 3. In comparison, Ethereum hasn’t reached such levels since September 13, 2023.
However, these figures don’t tell the whole story. A significant portion of Ethereum’s user activity has shifted to L2 scaling solutions like Arbitrum, Base, and Optimism. On June 11, these three L2s combined had 1.3 million daily active addresses, indicating a much larger user base when including L2 data.
Factors Driving TON’s Growth
Several recent developments have likely contributed to TON’s uptick in activity:
- Integration of Tether (USDT): Telegram recently integrated USDT on the TON blockchain, increasing its utility and user engagement.
- Notcoin: Over 35 million users have signed up for Notcoin, a “tap-to-earn” token launched five months ago that rewards users for completing social challenges.
- Telegram Stars: Introduced on June 6, this in-app currency allows users to make digital purchases within Telegram.
- Telegram Trading Bots: These bots have become a popular tool for crypto transactions on the messaging platform.
Also Read: TON and HashKey Collaborate for Better Telegram Crypto Access
The Bigger Picture
While TON’s rise in daily active addresses is noteworthy, comparing it directly to Ethereum without considering L2 solutions presents an incomplete view. Ethereum co-founder Vitalik Buterin has emphasized the importance of L2s in scaling the main blockchain, which is a critical aspect of Ethereum’s development roadmap.
TON’s integration with Telegram’s extensive user base provides a significant advantage, but whether it can maintain its growth and truly surpass Ethereum remains to be seen.
