Toncoin more than doubled in six days after Telegram founder Pavel Durov said the messaging giant would become the TON blockchain's largest validator and take over as its primary driving force. The token hit an intraday high of $2.90 on May 7, up from $1.32 on May 1, pushing its market cap to roughly $7.8 billion. The move effectively ends the TON Foundation's role as the network's lead coordinator and ties Telegram's balance sheet even more tightly to Toncoin's price.
Telegram's deepening grip on TON
This isn't a sudden pivot — it's the latest step in a relationship that's been tightening for over a year. In January 2025, Telegram and TON signed exclusivity agreements making Toncoin the only crypto accepted for Telegram Stars, Premium, Ads, Gateway, and certain payouts. TON Connect became the mandatory wallet standard for Mini Apps, and TON became the sole blockchain for those apps. Since then, infrastructure has piled on: TON Pay launched in February 2026, institutional stablecoin access via SCRYPT went live in April, and embedded wallet tools from Dynamic and Fireblocks arrived in late March. Sub-second finality hit mainnet in April, cutting confirmation times from about 10 seconds to roughly 1 second.
DeFi activity exploded
The price surge pulled in traders. DeFiLlama recorded $152.9 million in decentralized exchange volume for the week ending May 7 — up 1,054% week-over-week. Perpetuals volume hit $12.4 million, a 3,200% jump. App fees on TON hit $1.48 million for a single day. For context, Solana saw $6.37 million on a comparable day. Still, TON's stablecoin holdings are $752.5 million, a fraction of Solana's $15.4 billion or TRON's $89.6 billion. The base is small, but the growth rate is turning heads.
The centralization trade-off
Durov framed the validator move as a net positive, arguing that a credible anchor will attract more participants and lock more TON into staking at roughly 20% APR. But the concentration of control runs counter to the decentralization ethos most blockchain projects preach. The Financial Times reported that Telegram's revenue is tied to the Toncoin exclusivity deals, and a writedown in TON's value contributed to a net loss — a reminder that Telegram's balance sheet and TON's price are now wired together. If Telegram stumbles, the token could take a hit.
What happens next
Durov said Telegram will become the network's largest validator within two to three weeks. That timeline puts the transition somewhere in late May or early June. Until then, the market will watch whether the rally holds or fades as traders book profits. One thing is clear: TON is no longer just a Telegram side project. It's becoming the company's financial backbone.
