Messaging app Telegram is planning to launch its own blockchain platform - the “Telegram Open Network” (TON). The startup is also looking to issue a native cryptocurrency called Gram, powering payments on its chat app and beyond, TechCrunch reported.
Telegram is aiming to raise as much as $500 million in the pre-ICO sale at a potential total token value in the range of $3 billion to $5 billion.
With TON, Telegram aims to develop cryptocurrency-based utility and it is understood that the messaging app plans to allow users to hold both Telegram’s currency and fiat currency in a forthcoming wallet.
In a 132 page white paper, Telegram has outlined a four-stage plan. The app is going to provide the following services: “TON Services,” “TON DNS,” “TON Payments” and “TON Blockchain.”
TON’s third generation blockchain will be based on a dynamic ‘proof of stake’ secured by multiple parties with a high degree of fault tolerance. It will also handle storage of ID, payments and smart contracts.
Telegram also made it clear that four percent of the supply of Grams (200 million Grams) will be reserved for Telegram’s development team with a four-year vesting period.
The company plans to retain “at least 52 percent” of the entire supply of the Grams cryptocurrency to protect it from speculative trading and maintain flexibility. The remaining 44 percent will be sold in both the public and private sale.
The currency will be listed on external exchanges and used inside the Telegram app.