Telegram founder Pavel Durov stated that "blockchain-based projects should go back to their roots – decentralization."
Telegram, a globally accessible cross-platform, encrypted, cloud-based, and centralized instant messaging service, is reportedly planning to launch decentralized exchanges and non-custodial wallets.
The news was revealed on November 30th by Telegram founder Pavel Durov on his Telegram channel, stating:
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Telegram’s next step is to build a set of decentralized tools, including non-custodial wallets and decentralized exchanges for millions of people to securely trade and store cryptocurrencies. This way we can fix the wrongs caused by the excessive centralization, which let down hundreds of thousands of cryptocurrency users.
The Telegram founder stated that the idea of the initiative came about as a response to FTX's collapse. The man highlighted that it is time for the blockchain industry to come back to decentralization.
The solution is clear: blockchain-based projects should go back to their roots – decentralization. Cryptocurrency users should switch to trustless transactions and self-hosted wallets that don't rely on any single third party.
Moreover, in the announcement, Pavel Durov stated that the industry started being controlled by those who “abuse their power. As a result, a lot of people lost their money when FTX, one of the largest exchanges, went bankrupt."
It is worth noting that, just a week ago, Telegram launched a decentralized username auction platform dubbed Fragment. The auction was issued on layer-1 blockchain, The Open Network (TON). In the Telegram message, Durov stated that, so far, Fragment sold usernames worth around $50 million.
On top of that, Durov stated that the creation of Fragment took only five weeks and five people, with Fragment reportedly expanding beyond usernames this week.
In May 2020, Telegram launched The Open Network and its native token, Toncoin (TONCOIN). At the time of writing, Toncoin (TONCOIN) retails for $1.80, recording a 3.96% price increase in the last 24 hours.