TON Surges 24% as Telegram Founder Pavel Durov Returns to Dubai Amid Investigation
TON Defies Market Slump with a 24% Surge
While the broader cryptocurrency market faced a downturn over the weekend, one digital asset bucked the trend—TON (The Open Network), the blockchain network linked to messaging giant Telegram. The coin soared by 24% following the news that Telegram’s founder and CEO, Pavel Durov, has returned home to Dubai amid an ongoing legal investigation.
Price Rally Following Durov’s Return
TON experienced a sharp rise from $2.94 to $3.59 on Saturday, following reports that Durov had been permitted to leave France. The Russian-born entrepreneur had been detained there and faced charges related to the alleged failure to prevent illegal activities on Telegram. The rally continued into Monday, pushing TON to $3.65 as Durov publicly addressed the situation for the first time since his return.
“As you may have heard, I’ve returned to Dubai after spending several months in France due to an investigation related to the activity of criminals on Telegram,” Durov shared on Telegram. “The process is ongoing, but it feels great to be home.”
Despite his return, Durov must appear back in France by April 7 as part of the ongoing legal proceedings.
The Open Network’s Growing Influence
Telegram began developing The Open Network (TON) in 2017 as a blockchain-based solution to enhance transactions within its rapidly expanding user base. Over time, TON has evolved into an essential part of Telegram’s ecosystem, facilitating payments for advertisements, gaming, and transaction fees. The network now boasts a market capitalization exceeding $8 billion, reinforcing its growing influence in the crypto space.
Telegram Under Legal Scrutiny
Durov’s legal troubles began last year when he was arrested near Paris and subsequently barred from leaving France since August. Telegram, founded in 2013, has gained nearly one billion users globally due to its strong emphasis on privacy and security. However, its commitment to user anonymity has also drawn scrutiny from law enforcement agencies worldwide.
In September, following his arrest, Durov reversed Telegram’s long-standing policy of refusing government data requests. French authorities have accused the platform of being used for illegal activities, including the distribution of child sexual abuse material, drug trafficking, and financial fraud.
Company and Industry Reactions
In a post on X (formerly Twitter), Telegram dismissed the allegations as “absurd,” arguing that holding Durov personally responsible for criminal misuse of the platform was unjustified.
“It is absurd to claim that a platform or its owner are responsible for abuse of that platform,” the company stated, emphasizing that its moderation policies align with industry standards and are continuously improving.
Durov’s arrest triggered a wave of criticism from prominent figures in the tech and privacy communities. Ethereum co-founder Vitalik Buterin and U.S. whistleblower Edward Snowden both condemned the move, describing it as a politically driven attack on free speech.
Despite the ongoing legal challenges, Durov remains steadfast in his defense.
“When it comes to moderation, cooperation, and fighting crime, for years Telegram not only met but exceeded its legal obligations,” he reiterated in his Monday statement on Telegram.
The Future of TON and Telegram
As the legal proceedings unfold, TON’s price movements suggest that investor confidence in Telegram’s ecosystem remains strong. With its expanding blockchain infrastructure and increasing adoption, the network is poised to play a significant role in the future of decentralized transactions.
Meanwhile, Durov’s return to Dubai marks a pivotal moment in the ongoing investigation, raising questions about the potential impact on Telegram’s policies and its future relationship with global regulators.
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