The Arrest of Durov: Implications for Telegram, TON and Notcoin

The arrest of Pavel Durov on August 24, 2024, in France, accused of complicity in crimes related to insufficient content moderation on Telegram, has had significant repercussions for the Telegram ecosystem and its associated cryptocurrencies, such as TON and Notcoin.

The charges include providing cryptographic services without proper declarations, a serious violation of the law. In the wake of these events, the price of Toncoin dropped by 18%, and Notcoin depreciated by 20%. This decline has raised concerns among Telegram users and investors, intensifying discussions about the future regulation of cryptocurrencies on the platform. (The Daily Hodl, CryptoSlate, Crypto Briefing).

Durov’s detention has also drawn the attention of the crypto community, sparking movements in his support, such as #FreePavelDAO, and active discussions on platforms including Telegram and X (formerly Twitter).

At the same time, there has been a growing interest in meme coins like Resistance Dog, which has become a symbol of the fight against censorship. (Blockworks, CryptoNewsZ).

Our lawyer, Daria Lysenko, believes that despite the short-term negative impact on TON prices, the project will not face a complete collapse. Similar incidents have occurred in the crypto community before. For example, investigations and charges against Binance founder Changpeng Zhao by the U.S. Department of Justice resulted in multi-million-dollar fines and Zhao’s resignation. Yet, Binance and the BNB Chain continue to thrive.

We anticipate that the price of TON could recover within a few months, and the project will continue.

The question is whether Telegram can maintain its reputation as a platform for decentralized finance and freedom of speech while complying with regulatory requirements. This could also affect the further development and integration of cryptocurrency applications and mini-applications within Telegram.

Overall, these events highlight the importance of Telegram for the crypto world and could significantly impact the future of both the platform and the associated cryptocurrencies and decentralized applications.