- Toncoin (TON) plunged over 20% on Sunday.
- The development came after the arrest of Telegram CEO Pavel Durov in France.
- The Open Network called for calmness and solidarity in light of the arrest.
Toncoin (TON) plunged over 20% on Sunday following reports of Telegram founder and CEO Pavel Durov’s arrest in France.
TON is the native cryptocurrency of The Open Network, which Telegram originally developed before abandoning it in 2020 after losing an initial court fight with the U.S. Securities and Exchange Commission (SEC). Today’s development highlights the close ties between the blockchain project and Telegram’s leadership despite the messaging app positioning TON as an independent ecosystem.
Pavel Durov Arrested in France
According to a recent Reuters report, French Police arrested Pavel Durov on Saturday evening shortly after his private jet landed at Bourget Airport outside Paris.
The report, quoting broadcasters BFMTV and TF1, said the 39-year-old billionaire was the target of an arrest warrant in France as part of a preliminary investigation focused on a lack of moderators on Telegram. Authorities claimed this situation allowed criminal use of Telegram.
While French authorities have yet to indict Durov, news of the CEO’s arrest shook the TON ecosystem. The project’s native token witnessed a dramatic fall from $6.8 to $5.52 within two hours. At last check, the token had lost 20.07% in 24 hours to exchange hands at $5.38.
In response to the development, The Open Network took to X to reassure users that the ecosystem remains operational despite Durov’s arrest.
“Following the recent news related to the Telegram’s founder Pavel Durov, we want to assure everyone that the TON community remains strong and fully operational.” The post read. “We encourage everyone to stay calm, united, and to keep building as we navigate this situation together.”
TON-linked venture capital firm TON Ventures also issued an update regarding Durov’s situation, implying that his arrest undermined freedom of speech and decentralization.
Read about Binance’s move to feature Toncoin on Launchpool:
Binance Features Toncoin (TON) as the 56th Project on Launchpool
Stay updated on how to stay safe from phishing attacks on the TON ecosystem:
TON Ecosystem Phishing Attacks on the Rise: How to Stay Safe
