Telegram's Financial Statement Reveals $400 Million in Crypto Holdings Amidst Durov's Arrest

According to Cointelegraph: Telegram, the popular messaging app founded by Pavel Durov, reportedly held $400 million in digital assets at the end of 2023, according to the company's financial statement. This revelation comes in the wake of Durov's recent arrest on August 24, where he faces multiple charges including terrorism, trafficking, conspiracy, fraud, and money laundering.Source: Financial TimesDespite its significant crypto holdings, Telegram posted an operating loss of $108 million for the year ending December 31, 2023, while generating $342.5 million in revenue. Notably, approximately 40% of Telegram's revenue during this period was derived from digital asset-related activities, categorized under "integrated wallet" and "sale of collectibles."The "integrated wallet" is described as a software program allowing users to store, send, receive, and trade crypto assets, while the "sale of collectables" includes usernames, virtual phone numbers, and facilitating transactions between users. Telegram charges fees for these services, which contributed to its overall revenue.Source: StatistaTelegram’s user base has also grown, with the app boasting over five million premium users today, up from around four million at the end of 2023. The platform recorded an in-app revenue of $11.66 million in the first two months of 2024, adding to the $4 billion it has raised since its launch.India led the world in Telegram downloads in 2023, with 83.85 million users, while the United States ranked third with 29.92 million downloads.Impact on Toncoin and Market SentimentThe arrest of Durov has sparked significant market reaction, particularly affecting Toncoin (TON), the native coin of The Open Network (TON), which was originally developed by Telegram. Toncoin has seen a surge in trading activity as future traders hedge their bets on the asset's price.Source: CoinMarketCapToncoin's price has dropped by over 21% in the last seven days, trading at around $5.30 at the time of writing, down from $6.70. Its market capitalization has also taken a hit, decreasing by nearly 2% to $13.42 billion.Despite the decline, market analysts suggest that TON could be poised for a rebound if the market views Durov's arrest as an isolated incident that does not fundamentally damage the Toncoin ecosystem. This dip could present a buying opportunity for traders amid the current market panic.As the situation unfolds, the impact on Telegram, its user base, and its associated digital assets will continue to be closely watched by the market and the broader crypto community.