Why Telegram’s TON-only strategy for Mini Apps could backfire

Telegram’s decision to limit its Mini App ecosystem to exclusively support The Open Network (TON) has triggered outrage within the community.

On Jan. 21, Telegram officially announced the TON Foundation as its exclusive blockchain partner, making TON the only supported network for Mini Apps and Toncoin (TON) the sole token for in-app purchases.

The move has sparked debate in the Web3 community, with some critics arguing Telegram’s TON-only strategy will hurt blockchain development and others pointing to TON’s limited liquidity and immature tech.

TON’s limited liquidity complicates native token launches

“While not totally unexpected given the TON-first approach being quietly pushed behind the scenes, news of Telegram’s TON-only policy shift came surprisingly fast and with such a strong protectionist way,” Helika Ventures’ director Ilya Abugov told Cointelegraph.

According to Abugov, TON’s limited liquidity complicates the ability of game developers to natively launch tokens, taking a toll on blockchain development.

“Centralized exchanges have shown limited excitement for TON projects,” Abugov said, pointing to the partial delisting of Hamster Kombat (HMSTR) by Bybit on Jan. 17 due to poor liquidity.

On Jan. 15, Hamster Kombat also disclosed plans to build its own blockchain network, but those plans are now uncertain given Telegram’s exclusive partnership with TON. Cointelegraph approached Hamster for comment but hadn’t received a response by publication.

TON stability concerns

TON’s exclusive presence on Telegram’s Web3 ecosystem could also pose challenges to the network itself.

“The network itself is still maturing, meaning that a large inflow of complex user behavior could raise stability concerns,” Abugov said.

Related: Telegram-linked TON blockchain to focus on US growth under Trump

Garrison Yang, co-founder of Web3 gaming studio Mirai Labs, echoed Abugov’s perspective, suggesting that Telegram’s TON-only strategy may hinder the messenger’s potential in crypto due to performance issues and missed revenue opportunities.

“TON is well behind Solana and Base in performance, and Telegram is well-positioned to collect a toll for any blockchain interaction that is not built on the TON chain,” Yang said, adding:

“Instead, they are taking the scorched earth approach to force developers to use infrastructure, which never ends well.”

Fundamental principles of Web3 in question?

According to the Ice Open Network, Telegram’s TON-only strategy “not only contradicts the fundamental principles of Web3 but exposes TON’s inherently centralized nature.”

“TON, which once championed a free and open internet, has now unequivocally become The Closed Network,” the Ice Open Network wrote in an X post on Jan. 22. It added:

“This action mirrors the tactics of centralized Big Tech platforms, where users are locked into ecosystems without alternatives. The difference is that Big Tech doesn’t claim to be decentralized.”

Telegram and TON have expressed commitments to support freedom and decentralization. In May 2024, Telegram co-founder and CEO Pavel Durov said Telegram offers app developers “more freedom than any other platform.”

TON-first strategy versus TON-only strategy

“A TON-first rather than a TON-only policy would have made more sense to ease these challenges,” Helika Ventures’ Abugov said.

He also highlighted issues seen by Telegram apps funded by other blockchains, suggesting that a TON-first policy could be beneficial for those apps and Telegram by adding third-party liquidity. He stated:

“It appears TON was so afraid of losing users to other chains that it jumped the gun. This decision will now make it much more difficult to attract liquidity from other chains while placing a lot more pressure to get the network in better shape quickly.”

Cointelegraph reached out to Telegram and the TON Foundation for a comment regarding the community reaction but did not receive a response at the time of publication.

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