TON secures eight-figure investment from MEXC to develop Telegram into a Web3 super-application.

The Open Network (TON), a decentralized blockchain platform initially created by Telegram, has obtained significant funding from the venture division of the cryptocurrency exchange MEXC.

TON has secured an eight-figure investment from MEXC Ventures, a branch of MEXC’s global cryptocurrency exchange MEXC, as announced by the firm on Oct. 4. Alongside this funding, MEXC and the TON Foundation have formed a strategic alliance aimed at enhancing global Web3 accessibility by reducing entry barriers.

Under the terms of the agreement, the MEXC crypto exchange will offer marketing services and promotion for TON-based projects available on their platform. The firm is also planning to introduce a TON collateral lending service and waive trading fees for the TON token. “The previous cost was uniform for most cryptocurrencies on their exchange,” stated Justin Hyun, the director of growth at the TON Foundation, in an interview with Cointelegraph.

Furthermore, MEXC Ventures will persist in financing TON-based mini apps in addition to providing ongoing support for TON-based initiatives such as the autonomous protocol Megaton Finance, the GameFi platform TONPlay, Fanzee, and Sonet. MEXC and the TON Foundation are also exploring potential funding for Wallet on Telegram, Hyun mentioned in a statement to Cointelegraph.

With the backing of MEXC Ventures, the TON Foundation aims to enhance the adoption of the Web3 ecosystem within the Telegram messenger, Hyun noted. He remarked:

“The technology should be convenient and easy to use for anyone, regardless of their familiarity with the blockchain realm. With TON on Telegram, crypto becomes as simple as texting.”

Telegram founder Pavel Durov has consistently highlighted the significance of the TON blockchain in Telegram’s prospective Web3 journey. In mid-September, Telegram incorporated the TON Wallet as a mini-app, enabling users to access cryptocurrencies like TON (TON), Bitcoin (BTC), and Tether (USDT) directly from the app’s interface. Durov underscored that the TON technology has been developed by the open-source community rather than Telegram, also emphasizing that the TON wallet is a third-party application.

Telegram was compelled to cease its involvement in the TON development in 2020 following a legal dispute with securities regulators in the United States.

TON’s investor, MEXC Ventures, is a subsidiary of the centralized cryptocurrency exchange MEXC, which was established in 2018 and is registered in Seychelles, according to information from major crypto aggregators such as CoinGecko and CoinMarketCap.

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Some individuals within the crypto community have reported encountering specific issues with MEXC, cautioning users about the risks associated with utilizing a non-KYC exchange.

I highly suspect that @MEXC_Global is market making themselves in their own exchange. If you manage to be profitable on their exchange (take money off their mm) they will ban you and use every reason under the sun to keep your funds. Stay away from this exchange @MEXC_CEO

— glimmery (@Glimmerycoin) April 29, 2023

Trading nearly $600 million daily, MEX claims to possess licenses in Australia, Estonia, and the United States, and asserts that it serves users in 200 countries.

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