- Toncoin (TON) fell more than 20% on Sunday.
- The incident comes after Telegram CEO Pavel Durov was arrested in France.
- The Open Network called for calm and solidarity in response to the arrests.
The price of TON (TON) plunged more than 20% on Sunday following reports that Telegram founder and CEO Pavel Durov was arrested in France.
TON is the native cryptocurrency of The Open Network, which was initially developed by Telegram before it was abandoned after losing an initial legal battle with the U.S. Securities and Exchange Commission (SEC) in 2020. Today’s development highlights the close relationship between the blockchain project and Telegram’s leadership, even though the messaging app positions TON as an independent ecosystem.
Pavel Durov arrested in France
According to recent research, Reuters French police reportedly arrested Pavel Durov shortly after his private jet landed at Bourget Airport outside Paris on Saturday evening.
The report, citing broadcasters BFMTV and TF1, said the 39-year-old billionaire was the target of an arrest warrant in France as part of a preliminary investigation focused on Telegram’s lack of administrators, a situation that authorities claimed allowed for criminal use of the app.
French authorities have not yet charged Durov, but the news of the CEO’s arrest has shaken the TON ecosystem. The project’s native token has dropped dramatically from $6.80 to $5.52 in two hours. At last check, the token was trading at $5.38, down 20.07% in 24 hours.
In response to this development, The Open Network has reassured users via X that the ecosystem continues to function despite Durov’s arrest.
“Following the recent news related to the Telegram’s founder Pavel Durov, we want to assure everyone that the TON community remains strong and fully operational.” The post read. “We encourage everyone to stay calm, united, and to keep building as we navigate this situation together.”
TON Ventures, a venture capital firm associated with TON, also released an update on Durov’s situation, suggesting that his arrest undermined freedom of speech and decentralization.
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