Toncoin (TON), the digital asset affiliated with the popular messaging app Telegram, spiked over 6% on Wednesday amid growing speculation that Wall Street giants are lining up to participate in Telegram’s ambitious $1.5 billion bond offering.
According to a report by the Wall Street Journal, BlackRock, one of the world’s largest asset managers and an existing Telegram bondholder, is reportedly considering deepening its exposure. The five-year bond, which is set to offer a 9% yield, is drawing interest from institutional players, with sources also linking hedge fund Citadel to the discussions.
Institutional Interest Boosts Market Sentiment
News of potential backing from BlackRock and Abu Dhabi’s Mubadala, a state-owned investment firm, has triggered renewed optimism among Toncoin holders. The token jumped 6.49% to trade at $3.15, pushing its market cap to $7.92 billion, according to data from crypto.news.
While still down 61.6% from its 2024 all-time high, Toncoin’s latest surge reflects growing confidence in Telegram’s expanding financial footprint and monetization strategy.
A New Chapter for Telegram
The bond offering comes on the heels of Telegram co-founder Pavel Durov’s announcement that the platform now has over 15 million paying users, more than double the total from a year ago. The company is also projecting $2 billion in revenue for 2025, as it continues to transition from a free messaging app to a scalable tech business.
The proceeds from the bond sale will reportedly go toward buying back older debt, improving Telegram’s balance sheet and bolstering its long-term financial strategy.
“A 9% yield in today’s market especially tied to a high-growth tech platform like Telegram is bound to attract deep-pocketed investors,” said one analyst. “If BlackRock enters, it sends a powerful signal of institutional validation.”
Legal Headwinds Loom
Despite the bullish sentiment, Telegram and Durov are navigating legal headwinds. French prosecutors have reportedly denied Durov’s U.S. travel request, citing his failure to cooperate with ongoing investigations into illegal content on the platform. While the situation is still evolving, such controversies could introduce volatility for both Telegram and Toncoin.
Toncoin’s price rally underscores the growing interest from institutional investors in Telegram’s financial trajectory, particularly as the platform gears up for a $1.5 billion bond deal with a generous 9% yield. With BlackRock and Citadel potentially in the mix, the spotlight on Telegram and its native crypto asset is intensifying. Whether this momentum can be sustained amid legal scrutiny remains to be seen, but for now, Toncoin is riding high on the buzz of Wall Street’s backing.
