In a thought-provoking opinion piece for CoinDesk, David Zimmerman, an analyst at K33 Research, challenges the notion that crypto’s killer app is yet to come. Zimmerman boldly suggests that Telegram, in collaboration with a handful of independent developers, has made more significant strides in onboarding the masses to crypto than the $100 billion in venture capital invested since 2014.
According to Zimmerman, crypto adoption has historically been hampered by three main factors: poor user experience, limited real-world utility, and inadequate distribution. He asserts that Telegram, through its support and integration of The Open Network (TON), is effectively addressing all these issues and more.
Zimmerman points out that while much of the crypto industry has focused on niche technological developments primarily serving speculators, Telegram has taken a different approach. He highlights how Telegram has combined its messaging app, boasting 800 million monthly active users, with TON blockchain and a native wallet bot, effectively merging Web2 and Web3 in a practical manner.
In Zimmerman’s view, this combination allows Telegram to tackle the core issues that have held crypto back. He particularly emphasizes the importance of stablecoins, describing them as crypto’s greatest product to date. Zimmerman notes that with native USDT on TON since April, seamless peer-to-peer value transfer has become a reality, offering a user experience smoother than neobanks and far superior to traditional banks.
Zimmerman sees even greater potential for mass adoption through Telegram’s Mini Apps platform. He believes this open platform for businesses to build and deploy crypto-friendly apps could enable crypto teams to distribute their products to non-crypto-natives without the end users necessarily realizing they’re using a crypto product.
Reflecting on Telegram’s evolving role in the crypto space, Zimmerman notes how it has long been a popular platform among crypto enthusiasts for communication and idea-sharing. He then describes how a new generation of Telegram trading bots has revolutionized the on-chain trading experience, making various trading activities significantly more accessible.
Zimmerman emphasizes the significance of the user experience improvements, sharing his personal experience of onboarding non-crypto friends through TON’s Wallet. He expresses amazement at how much easier it has become to introduce people to crypto thanks to Telegram’s infrastructure.
Despite his enthusiasm, Zimmerman maintains a balanced perspective. He acknowledges that while Telegram and TON have made significant progress in improving user experience and distribution, there’s still a need for a comprehensive range of consumer-facing apps. He notes that while Mini Apps are being developed, current offerings are more meme-based than utility-based. Zimmerman also points out that regulatory concerns remain an industry-wide issue.
Looking to the future, Zimmerman expresses confidence in Telegram and TON’s ability to overcome these challenges. He notes that the market seems to be pricing in this potential, with TON already reaching the top-10 list in cryptocurrency market capitalization. While acknowledging that much of TON’s growth has been fueled by speculation, Zimmerman believes there are real fundamentals supporting its rise.
In conclusion, Zimmerman aligns himself with the widely held desire to see crypto used by the masses. He points out that this sentiment is shared by Telegram’s co-founder and CEO Pavel Durov, a prominent Bitcoin advocate. Zimmerman ends by asserting that Telegram, with its mission to “put crypto in every pocket,” is better positioned than any other entity in the growing crypto industry to make widespread adoption a reality.
At the time of writing, TON is trading at around $7.63, which makes it the 9th most valuable cryptoasset with a market cap of $18.76 billion.
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