Toncoin

Toncoin (ticker TON, formerly Gram) is the native cryptocurrency of The Open Network blockchain. It powers transaction fees, staking rewards, and various services across the TON ecosystem. The token has nine decimal places; the smallest unit is called a “nanoton” or “nano.”

Toncoin originated from Telegram’s abandoned Gram project and transitioned from a Proof‑of‑Work distribution to a Proof‑of‑Stake network. Its total supply is about 5.1 billion, with roughly 3.5 billion in circulation, and it is used for gas, trading, staking, bridges, and payments on Telegram.

History#

January 2018 – Telegram opened applications for an ICO aiming to raise $850 million. The first round attracted about $3.8 billion in applications, and a second round raised another $850 million.
November 2019 – Testnet 2 launched, issuing 5 billion coins, of which 1.45 % were allocated to developers and testers.
May 2020 – After the SEC barred token sales to U.S. investors, Telegram halted work on TON. All testnet2 coins were moved to 20 Proof‑of‑Work Giver smart contracts, enabling open mining.
June 2020 – Mining began, with instructions published for acquiring test tokens.
May 2021 – Testnet 2 was upgraded to the main network, the Gram token was renamed Toncoin, and distribution continued through the PoW Giver contracts.
June 2022 – Mining stopped and the network fully transitioned to Proof‑of‑Stake, increasing the validator set and moving coins into staking pools.

Mining (Proof‑of‑Work Giver)#

During the PoW phase, developers placed Toncoin in special Giver contracts. Anyone could mine under equal conditions, allowing a broad initial distribution. Mining continued until the contracts were exhausted, after which the network operated exclusively on Proof‑of‑Stake.

Tokenomics#

Maximum supply: ~5.1 billion Toncoin.
Initial allocation (per whitepaper):
- 4 % (200 million) to the Telegram team.
- 52 % reserved to protect against speculation.
- 44 % sold in public and private campaigns.
Post‑Telegram changes: The whitepaper projected an annual issuance of about 2 % with a validator yield of 20 % and up to 10 % of total coins locked in staking.
Current inflation: Approximately 0.5 % per year, with an annual staking yield around 4 %.
Circulating supply (as of source date): ~3.5 billion Toncoin.
- ~1.3 billion locked in the TON Believers fund for two years, then vesting over three years.
- ~0.5 billion locked for validator staking.
- ~1.08 billion frozen for four years by community vote (early miners’ inactive wallets).
- A significant portion is locked in DeFi protocols.

Half of the transaction and data‑storage fees collected by the network are burned, providing a deflationary counterbalance to issuance.

Wrapped Toncoin#

Wrapped Toncoin (wTON) is a tokenized version of Toncoin on other blockchains (Ethereum, BSC, etc.). The original Toncoin is locked on TON, and an equivalent amount is minted on the target chain; burning the wrapped token releases the original. The 1:1 peg is maintained across all supported networks.

Usage#

Gas fees – Required for executing smart contracts and storing data.
Trading – Available on decentralized (DEX) and centralized exchanges.
Staking – Depositing Toncoin in validator pools to secure the network and earn rewards.
Bridges – Transfer Toncoin to other blockchains via wrapped versions.
Liquidity pools & farming – Provide liquidity on DEXs and earn fees or additional token rewards.
P2P exchanges – Swap fiat for Toncoin directly with other users.
Payments – Pay for Telegram channel subscriptions and Telegram Premium.
NFTs – Purchase digital assets on marketplaces such as Getgems.
Username auctions – High‑value usernames are sold on Fragment; the first sale of @auto fetched 900 000 Toncoin.
Jetton exchanges – Trade Toncoin for various Jetton tokens.
Gambling – Participate in online casinos, lotteries, and sports betting platforms on TON.
Donations, checks, giveaways – Support channels and groups via the built‑in Telegram utilities.
Voting – Influence protocol decisions on the TON Vote DAO platform.

Storage#

Non‑custodial wallets are recommended for holding Toncoin. The most popular choice is Tonkeeper. For custodial options, the built‑in Telegram @wallet service is widely used.

Explorers#

Various blockchain explorers listed on ton.app allow tracking of Toncoin movements. The TON Whales site provides analytics on large holders, early miners, and the TON Foundation wallet. Explorers for wrapped versions are available on their respective networks.