Telegram-connected Toncoin overtakes Cardano as the 9th largest crypto
Toncoin (TON) Cardano's (ADA) token has become the ninth largest cryptocurrency by market capitalization.
Ton will be the ninth largest crypto.
Following a 13% daily price increase, Ton rose to $6.65 as of 1:45 pm (UTC), surpassing the ADA token's $22 billion market cap to become the ninth largest cryptocurrency with a market capitalization of $23 billion, according to CoinMarketCap data.
The rally comes a day after Ton Society developers raised $5 million in Toncoin to encourage users to verify their identity using palm-scanning technology. The project aims to enable digital identity verification for Telegram users over the next five years and will distribute one million tons to users who participate in the identity verification program.
A ton of interest has helped Cardano outpace ADA. The tonne price has increased by more than 135 percent in the past month, while the ADA price has fallen by 15 percent.
Highlighting further, ton price is up 183% year-to-date (YTD), while ADA price is down 1.30% YTD.
Ton launched a $115 million community incentive program on March 20, with $38 million for token mining and user incentives, $22 million for airdrops, $15 million for the league developer ecosystem, and $40 million for liquidity pool incentives. The program is driving more user adoption.
Unlike Toncoin, Cardano's ADA has seen little interest this year, as investors' attention has been focused on Bitcoin exchange-traded funds (ETFs) and other major blockchain upgrades, such as Ethereum's Dencun upgrade.
Related: Within 10 days of halving, analysts predict $150K Bitcoin peak
Can Ton keep up the momentum?
Toncoin's price action was significantly higher than Dogecoin's. Ton rose 130 percent last month while DOGE gained only 14.8 percent. Year-to-date, tons are up 177%, while DOGE's price is up 108%, according to TradingView.
While Dogecoin's price action is based solely on speculative demand, increased user adoption of Dogecoin's service within the Telegram messaging app could directly lead to price appreciation.
On the flip side, Toncoin's token distribution may pose concerns among retail investors. According to CoinCarp, more than 60% of Toncoin is owned by the 10 largest owners, and 93% of the supply is owned by the 100 richest owners.
RELATED: Telegram Mini Apps Are ‘Trojan Horse' For Mass Blockchain Adoption – Ton Investments Director
This article does not contain investment advice or recommendations. Every investment and business activity involves risk, and readers should do their own research when making a decision.
