By the end of 2023, Telegram held over $400 million in digital assets, as revealed in the company’s financial statement. The messaging platform also experienced significant user growth, with premium users increasing from around four million at the end of 2023 to over five million by mid-2024, according to a report by the Financial Times.
Despite the rise in users, Telegram encountered substantial financial difficulties. The platform generated $342.5 million in revenue but still recorded an operating loss of $108 million for the year.
Crypto-Related Activities Account for 40% of Telegram’s Revenue
A significant portion of Telegram’s revenue—approximately 40%—stemmed from its involvement in crypto-related activities. This includes an “integrated wallet” feature that enables users to store, send, receive, and trade various cryptocurrencies directly within the app. The feature has contributed to Telegram’s substantial digital asset holdings.
Additionally, revenue from the sale of digital collectibles, such as usernames and virtual phone numbers, further supported Telegram’s income. The company not only sold these collectibles but also facilitated transactions between users, earning fees for its services.
In 2023, Telegram’s global reach was evident, with India leading in downloads at 83.85 million users, while the United States ranked third with 29.92 million downloads, as per Statista.
Durov’s Arrest Sparks Market Volatility
On August 24, Telegram CEO Pavel Durov was arrested upon arrival at Le Bourget airport near Paris, facing charges including terrorism, trafficking, conspiracy, fraud, and money laundering. His arrest, which led to a court appearance on August 28, caused significant unrest in the cryptocurrency market.
Toncoin (TON), the native cryptocurrency of The Open Network—initially developed by Telegram—experienced notable price volatility following Durov’s arrest. The coin’s value plummeted from around $6.70 to $5.30 within a week, a decline of more than 21%, as reported by CoinMarketCap. Additionally, TON’s market capitalization dropped by nearly 2%, settling at $13.42 billion.
Durov Released on $5.56 Million Bail
French authorities granted Durov bail under strict conditions, including a 5 million euro payment, twice-weekly check-ins with police, and restrictions on leaving France. Paris prosecutor Laure Beccuau confirmed that the judge found enough evidence to proceed with a formal investigation into all charges against Durov.
The charges include alleged complicity in running an online platform for illicit transactions, distribution of child sexual abuse material, drug trafficking, fraud, non-cooperation with authorities, money laundering, and providing cryptographic services to criminals.
However, a video shared by Russian state news agency RIA on Telegram and X showed Durov, dressed in black with a baseball cap and sunglasses, leaving the prosecutor’s office and entering a vehicle on Wednesday evening.
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