TON Blockchain Launches Venture Capital Fund to Boost Ecosystem Growth

TON Blockchain Launches New Venture Capital Fund

The rapidly expanding TON blockchain, initially developed by the messaging platform Telegram, is set to establish its own venture capital fund. This initiative comes as ecosystem leaders create an independent, profit-oriented entity that will operate separately from the network’s development foundation.

On Wednesday, TON Ventures officially announced its formation, with Ian Wittkopp, the former director of TON Accelerator, taking the helm alongside Inal Kardan, the previous gaming lead at TON Foundation. The organization has successfully raised $40 million and intends to focus on investing in early-stage consumer applications that cater to a broad audience within the TON ecosystem, as stated in their press release.

The fund’s investors are primarily composed of individual private investors who have expressed a desire to foster the long-term growth and sustainability of the TON ecosystem. In an email to CoinDesk, the founders emphasized their commitment to this vision.

The TON ecosystem has witnessed a remarkable surge in popularity lately, particularly with web3 games like Hamster Kombat and Notcoin, which have drawn millions of users. These applications operate on The Open Network, or TON, a decentralized layer-1 blockchain that was originally established by Telegram. However, the project continued as an independent entity following regulatory challenges after Telegram reached a settlement with the U.S. Securities and Exchange Commission (SEC) in 2020.

Earlier this year, digital asset investment firm Pantera Capital reported that it made its largest investment to date in TON, while also seeking to raise funds for a second investment round. In a significant move, crypto heavyweight Tether introduced its USDT stablecoin to the TON network in April, enhancing peer-to-peer payment capabilities among Telegram users.

The network’s native token, toncoin (TON), has experienced an astonishing price surge, climbing 339% over the past year. This impressive growth has propelled TON into the top 10 of the largest cryptocurrencies, boasting a market capitalization of $16 billion.

Ian W., managing partner of TON Ventures, remarked, “TON and Telegram have created a paradigm shift for web3.” He further added, “With our extensive experience in the ecosystem, we believe that the most impactful area for development lies in the strategic allocation of capital for TON.”