Telegram held $400 million in digital assets by the close of 2023, according to its financial statement for that year.
Telegram, which had around four million premium users at the end of 2023, saw this number rise to over five million by mid-2024, according to a report from the Financial Times.
Despite this growth, the company faced significant financial challenges.
While the messaging platform generated $342.5 million in revenue, it still posted an operating loss of $108 million for the year/
40% of Telegram’s Revenue Came From Crypto-Related Activities
Notably, about 40% of this revenue came from activities related to digital assets, including an "integrated wallet" and the sale of digital collectibles.
The integrated wallet, as detailed in Telegram’s financial disclosures, allows users to store, send, receive, and trade various cryptocurrencies directly within the app.
The feature has likely contributed to Telegram’s significant digital asset holdings.
Additionally, the company's revenue stream was bolstered by the sale of digital collectibles, such as usernames and virtual phone numbers.
Telegram not only sells these collectibles but also facilitates transactions between users, earning fees for its services.
The messaging platform’s global reach was also evident in 2023, with India leading the way in Telegram downloads, recording 83.85 million users, according to Statista.
The United States ranked third, with 29.92 million downloads.
The company faced a major setback on August 24, when CEO Pavel Durov was arrested upon landing at Le Bourget airport near Paris.
Durov is facing a slew of serious charges, including terrorism, trafficking, conspiracy, fraud, and money laundering.
His arrest, which led to his court appearance on August 28, sent ripples through the cryptocurrency market.
Toncoin (TON), the native cryptocurrency of The Open Network, originally developed by Telegram, experienced significant volatility following Durov’s arrest.
The coin’s price dropped from approximately $6.70 to $5.30 within a week, marking a decline of more than 21%, according to CoinMarketCap data.
Additionally, TON's market capitalization suffered nearly a 2% decrease, settling at $13.42 billion.
Durov Released on $5.56 Million Bail
Meanwhile, French authorities have granted Durov bail under strict conditions, including a payment of 5 million euros, reporting to police twice a week, and remaining within French borders.
Paris prosecutor Laure Beccuau stated that the judge found sufficient grounds to formally investigate Durov on all charges for which he was initially detained.
These charges include suspected complicity in running an online platform that facilitates illicit transactions, distribution of child sexual abuse material, drug trafficking, fraud, failure to cooperate with authorities, money laundering, and providing cryptographic services to criminals.
However, a video shared by Russian state news agency RIA on Telegram, and later on X, appears to show Durov, dressed in black, wearing a baseball cap and sunglasses, leaving the prosecutor's office and entering a vehicle on Wednesday evening.
The post Telegram Held $400 Million in Crypto by End of 2023 appeared first on Cryptonews.
© 2024 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.
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