Over the past week, The Open Network (TON) ecosystem has encountered a series of setbacks due to a wave of unfavorable news. The turbulence began with the arrest of Telegram founder Pavel Durov, followed by two significant outages on the blockchain network that brought block production to a standstill. Altogether, in just 68 days, the top ten coins within the TON ecosystem have collectively shed $5.13 billion in value.

$5.13B Wiped From Top 10 TON Token Economy’s Market Cap in 68 Days

From June 23 to Aug. 30, 2024, the collective market capitalization of the top ten TON coins has shrunk from $20.51 billion to $15.38 billion. During this period, toncoin (TON) had a market valuation of approximately $18.71 billion, which has since decreased to $13.57 billion. Notcoin (NOT) also saw a significant drop, going from a $1.5 billion market cap to $849 million. Over the past week and a half, several other top ten TON-issued coins have experienced a similar decline, mirroring the downturn of the leading two.

TON and NOT have maintained competitive trading volumes when stacked against other crypto assets. Data reveals that, excluding BTC, ETH, and stablecoins, TON ranked as the 12th most traded asset by volume this week. Meanwhile, NOT secured the 26th spot among thousands of coins. However, TON’s news this week has been anything but positive for the crypto asset ecosystem, starting with the arrest of Telegram founder Pavel Durov on Aug. 24.

The situation worsened with two block outages, each lasting around six hours, occurring between Aug. 27 and 28. These interruptions were linked to the launch of the meme coin DOGS, which caused network instability. As a result, transactions were delayed, and some crypto exchanges temporarily halted withdrawals and deposits of TON-related tokens. These outages drew comparisons to Solana’s past downtimes.

The question of whether recent events around TON are merely a temporary hiccup remains unanswered. Currently, TON has slipped from its position as the ninth largest market cap to the tenth. Despite this, TON still maintains a $1.13 billion lead over cardano (ADA), which holds the 11th spot. TON has had a standout year in 2024, climbing 130% year-to-date, but this setback highlights that even well-established networks aren’t immune to external pressures and internal hurdles.

Source : Bitcoin News - Aug 31, 2024