What is Toncoin?

Toncoin (TON) is a decentralized layer-1 blockchain that was initially developed in 2018 by an encrypted messaging platform. However, the project was later taken over by the TON Foundation and renamed from "Telegram Open Network" to "The Open Network". Toncoin, previously known as Gram, is the native cryptocurrency of the TON network. The network seeks to provide an ecosystem with decentralized storage, services, a domain name system, an anonymous network, an instant payment platform, and efficient transaction processing. The TON network is community-driven and focuses on serving a typical consumer with its flexible architecture.

How does Toncoin work?

Toncoin operates on a proof-of-stake (PoS) consensus model, which aims to enhance network scalability and reliability. The network is designed to provide payment services with transparency, facilitating transactions with minimal fees and third-party applications. Toncoin is used to settle payments, validate transactions, and pay transaction fees. The TON network has a multi-level structure built on the principle of sharding or segmentation, which allows the network to avoid the accumulation of unverified blocks and speeds up tasks.

What are the potential use cases for Toncoin?

Toncoin can be used to build decentralized applications (dApps), act as a transaction processing fee, as a cross-chain transaction fee, and as a staking payment to secure the blockchain and services. Other use cases include payment for decentralized data storage, TON DNS/TON Proxy, and other fees within decentralized services. Validator fees are also paid in TON. Additionally, Toncoin can be used to vote for changes and development within TON's governance program. The network also allows users to transfer funds and interact with platform services through its built-in wallet function.

What is the history of Toncoin?

Toncoin was initially developed by an encrypted messaging platform in 2018. The project was then taken over by the TON Foundation and renamed from "Telegram Open Network" to "The Open Network". The original idea was to integrate TON into an application that allows users to transact and store funds. However, in 2020, the CEO of the messaging platform left the project, and the development was handed over to independent crypto enthusiasts. The network was developed by Anatoliy Makosov and Kirill Emelianenko, members of the community called NewTON (later the TON Foundation).