HashKey Group, the operator of one of the two licensed cryptocurrency exchanges in Hong Kong, has partnered with the organization behind the blockchain developed by Telegram Messenger. This collaboration aims to provide users in the Asia-Pacific region with the opportunity to exchange their Toncoins for cash, serving as an on- and off-ramp for cryptocurrency transactions.
The agreement entails joint efforts in launching new ecosystem projects, offering mentorship, networking opportunities, and other incubation activities, as announced by the TON Foundation on Friday.
The TON Foundation, governing The Open Network (formerly known as Telegram Open Network), was established following Telegram’s decision to discontinue its blockchain due to a settlement with the US Securities and Futures Commission in 2020. Despite this setback, the foundation has continued to advance the blockchain technology, integrating it into Telegram through a mini app and business partnerships.
Steve Yun, the President of the TON Foundation, expressed optimism about the collaboration, highlighting HashKey’s commitment to regulatory compliance, particularly in adhering to know-your-customer (KYC) regulations. The strategic steps taken by both organizations aim to ensure compliance with legal requirements.
While TON maintains its independence from Telegram, its blockchain’s primary utility remains closely linked to the messaging app, which boasts over 900 million users worldwide. The TON Foundation invests in premium placement within Telegram, positioning itself as the default wallet option in the app’s sidebar to enhance user accessibility.
Despite facing regulatory challenges, TON restricts cryptocurrency usage within Telegram in certain jurisdictions like the US, China, and Hong Kong to mitigate potential legal complications.
The foundation sees the mini app ecosystem on Telegram as a key driver for blockchain adoption, leveraging sharding technology to enhance scalability. By teaming up with HashKey in the Asia-Pacific region, TON aims to capitalize on the familiarity of users with the “super app” concept, prevalent in regions like Eastern Europe and Asia.
HashKey’s recent expansion initiatives, including the launch of a global crypto exchange during the Web3 Festival, underscore its ambition to become a prominent player in the international crypto market. The company’s upgraded license from the Hong Kong Securities and Futures Commission allows it to offer crypto-related investment products to retail investors, further solidifying its position in the industry.
Looking ahead, HashKey aspires to surpass Coinbase in trading volume by 2030, leveraging partnerships like the one with the TON Foundation to drive growth and attract a broader user base across Asia through integration with Telegram’s mini apps.