Telegram planning to tap into cryptocurrency popularity with $1.2 billion ICO, rivaling Ethereum

telegram ico

Messaging app telegram is planning on cashing in on the cryptocurrency popularity with the ICO which is much larger as compared to the normal ones which the cryptocurrency investors have seen. The total size of the ICO is $ 1.2 billion. Out of this, $ 600 million is in the presale for venture capitalists as well as executives of the company itself.

The company is planning to create a platform rivaling ethereum. It wants to provide a platform for businesses as well as app developers to host the software as well as application in a decentralized manner. The 1st stage which is the presale is invite only.

The public sale would be opened up in March which would be open for retail investors to invest in as well. Currently, the largest ICO was of Filecoin which raised $ 257 million in September. When you compare it with the ICO being launched by Telegram, it is almost 5 times the one which was launched by Filecoin.

The main reason why Telegram is garnering so much attention from the investors is that its main messaging applications have over 170 million monthly users. Also, almost 5 million users join telegram on a daily basis. Thus, any new venture by telegram is expected to achieve similar kind of success is its main messaging application.

Telegram is also the messaging application which is primarily used for most of the ICOs. Thus, the company would be able to easily gain traction for its own ICO using the messaging application which would again increase the value as well as the interest of the ICO.

Also, since it is creating a decentralized platform, the application of the ICO, as well as the platform, is pretty legit which would help it gain more and more traction among the game developers.

According to the telegram, the platform would be a gateway and would allow normal users as well as developers to create the decentralized applications quite easily. The white paper which was published by telegram is 132 pages long and includes much more details about the platform which they are deploying.

All in all, the success of the ICO which is being launched by telegram would be dependent on the underlying applications rather than just the number of users who are using the messaging application. It remains to be seen whether it is able to make its ICO success. Currently, the cryptocurrency market is filled with companies that are launching their own ICOs and only a few of them have managed to raise anything above $ 100 million.

Husband, Father, Friend | Writer at TowardsDataScience and Hackernoon | Salih Sarikaya is a data &product & media professional with many years of experience | Top Tech Influencers of USA (CES2017-Onalytica) | Key Blockchain Influencer (Business Insider, DisruptorDaily, TokenTarget, KLOUT, MOZ) | Entrepreneur | Author | Pro Member of PEN America & SPJ | Computational Sociology MA


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