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- Toncoin surged 8% after a false report claimed a $400 million fundraising round, later debunked by the TON Foundation.
- Toncoin’s foundation clarified that VC firms hold $400 million worth of the token, but this does not equate to direct fundraising.
- Toncoin’s controversy coincides with Telegram founder Pavel Durov’s ongoing legal case in France over alleged platform moderation failures.
A false report can cause shockwaves across the market. That’s what recently occurred with Toncoin (TON) when there were rumors about a huge $400 million financing round, which went viral, causing a jump of 8% in the token’s price. However, once the rumors settled, the official Twitter (formerly known as TON X) account put out a denial, and prices plummeted again.
According to an official statement from TON, reports that had indicated that the TON Foundation raised $400 million have been untrue. Rather, the foundation explained that top U.S.-based venture capital players actually own well over $400 million worth of Toncoin. This is an important fact that initial reports missed.
“The world’s most forward-thinking US-based venture capital firms hold over $400 million in Toncoin,” the TON Foundation stated. It emphasized that this does not equate to direct fundraising.
Despite the correction, there is still news value. Major VC players being deeply invested in Toncoin is a bullish sign, demonstrating high confidence in the project’s long-term potential. Misleading news, however, has a lasting impact, and there was a swift response from the community.
Toncoin Clarifies Situation as Crypto Community Reacts
As TON explained what had actually occurred, the crypto community went into the comment section to share their opinions. Some complimented the foundation for clearing up what had been a misunderstanding, and some reaffirmed their bullish sentiment on the project, saying that the confusion didn’t affect their confidence in Toncoin’s future.
However, not everyone was convinced the misinformation was an accident. Some users questioned who spread such a significant misinterpretation of the facts in the first place and suspected foul play.
One user hypothesized that possibly the rumor has been a staged move to pump the token price. Another hypothesized that whoever perpetrated the misinformation might have waited and then canceled, waiting for the price to rise before dumping their holdings.
While there is not much evidence for these hypotheses, the incident makes one think about manipulation in the crypto markets, where unconfirmed news can cause sudden price action.
Toncoin is currently trading at $ 3.56 with a 24-hour volume of $ 425.96M, a market cap of $ 8.82B. The price for TON rose 0.18% over the last 24 hours.
Toncoin and Telegram Under Fire as Pavel Durov Faces Legal Trouble
Interestingly, the timing of this controversy coincides with another major development tied to the TON ecosystem—Telegram founder Pavel Durov’s legal troubles in France.
Durov, a strong supporter of decentralization and privacy, was arrested in August 2024 when he arrived in Paris on his private aircraft. French authorities accused him of not properly moderating Telegram, which critics claim has turned into a sanctuary for illicit activity, including fraud, drug smuggling, and exploitation of children. Telegram has refuted the accusations, claiming that it has stringent moderation measures.
Following months of legal action, Durov recently received permission for him to return home to Dubai, even though his case against him remains pending. On his Telegram channel, he issued a statement where he announced his relief at being able to return home but also emphasized that “the process is ongoing.”
“I am grateful to the French judges for allowing me to return and to my legal team for proving that Telegram has not only met but exceeded its legal obligations in moderation and crime prevention,” Durov stated.
Since his arrest, Telegram has increased efforts to respond to concerns regarding its platform, becoming a member of the Internet Watch Foundation to fight against child exploitation material. The company has also implemented additional measures, such as sharing IP addresses and phone numbers of offenders with law authorities when compelled by valid legal requests.
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