Telegram’s blockchain platform, “The Open Network” (TON), has been experiencing a surge in daily active addresses, surpassing Ethereum for most days this month. This unexpected growth has led some to speculate about a potential shift in dominance, driven by Telegram’s massive user base. However, there are some who argue that the data may not provide the full picture.
Delphi Digital, a firm specializing in blockchain analysis, highlighted TON’s steady rise above Ethereum in terms of daily active addresses, attributing it to Telegram’s extensive user reach of 900 million. They referred to this trend as “The Flippening CT ignores,” suggesting that TON’s success is largely dependent on Telegram’s distribution network.
Despite TON’s impressive performance, questions remain about its long-term sustainability in surpassing Ethereum. Data from Artemis, a blockchain analytics platform, shows that TON has been steadily gaining ground since May 17, consistently outperforming Ethereum in daily active addresses. This trend continued through June, with TON surpassing Ethereum on 10 out of 11 days, reaching a peak of 568,300 DAAs on June 3.
On the other hand, Ethereum’s usage data may be skewed due to the increasing adoption of layer 2 scaling solutions, which divert a significant portion of user activity away from the main blockchain. For instance, three of the leading Ethereum layer 2 solutions recorded a combined 1.3 million daily active addresses on June 11 alone, making it a challenging comparison with TON.
The recent uptick in TON’s network activity can be attributed to several factors, including the integration of the Tether stablecoin and the growing user base of Notcoin, a “tap-to-earn” token introduced by Telegram. Additionally, the launch of Telegram Stars as an in-app currency for digital purchases has further boosted activity on the platform. Telegram trading bots have also emerged as a popular use case within the crypto community.
As the blockchain landscape continues to evolve, the debate over measuring transactions per second (TPS) in 2024 remains contentious. The ongoing competition between TON and Ethereum serves as a testament to the dynamic nature of the blockchain industry, with new developments and innovations constantly reshaping the market.