TON raises 8-figure sum from MEXC to make Telegram a Web3 super-app

XRP

The Open Network (TON), a decentralized blockchain platform originally designed by Telegram, has secured major funding from the venture arm of the cryptocurrency exchange MEXC.

TON has raised an eight-figure investment from MEXC Ventures, a subsidiary of MEXC’s global cryptocurrency exchange MEXC, the firm announced on Oct. 4. In conjunction with funding, MEXC and the TON Foundation have entered into a strategic partnership aiming to promote global Web3 accessibility by lowering the barriers of entry.

As part of the deal, MEXC crypto exchange will provide marketing services and promotion for the TON-based projects listed on their platform. The firm is also set to launch a TON collateral lending service and eliminate trading fees for the TON token. “The previous cost was the same for most cryptocurrencies on their exchange,” TON Foundation’s director of growth Justin Hyun told Cointelegraph.

Additionally, MEXC Ventures will continue funding TON-based mini apps in addition to ongoing support of TON-based projects like the autonomous protocol Megaton Finance, the GameFi platform TONPlay, Fanzee and Sonet. MEXC and the TON foundation are also discussing potential funding for Wallet on Telegram, Hyun said in a statement to Cointelegraph.

With the support of MEXC Ventures, TON Foundation aims to increase the adoption of the Web3 ecosystem within the Telegram messenger, Hyun said. He stated:

“The technology should be convenient and easy to use for anyone, no matter their knowledge of the world of blockchain. With TON on Telegram, crypto becomes as easy as texting.”

Telegram founder Pavel Durov has repeatedly pointed out the role of the TON blockchain in the potential Web3 journey of Telegram. In mid-September, Telegram integrated the TON Wallet as a mini-app, allowing users to access coins like TON (TON), Bitcoin (BTC) and Tether (USDT) directly from the app’s interface. Durov emphasized that the TON tech has been developed by the open source community rather than Telegram, also stressing that TON wallet is a third-party app.

Telegram was forced to terminate its involvement in the TON development in 2020 following a legal battle with securities regulators in the United States.

TON’s investor, MEXC Ventures, is a subsidiary of the centralized cryptocurrency exchange MEXC, founded in 2018 and registered in Seychelles, according to data from major crypto aggregators like CoinGecko and CoinMarketCap.

Related: Google and Goldman Sachs-backed AI firm AlphaSense raises $150M at $2.5B valuation

Some people in the crypto community have reported facing certain issues with MEXC, warning users about the risks or using a non-KYC exchange.

Trading nearly $600 million daily, MEX claims to hold licenses in Australia, Estonia and the United States, and claims to serve users in 200 countries.

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