- According to Telegram CEO Pavel Durov, the company would start working on developing “non-custodial wallets” and decentralized crypto exchanges.
- Telegram proposes that developers focus on solutions that increase the decentralization and transparency of the industry.
The CEO of Telegram, Pavel Durov, communicated to the users through his telegram channel that the company would begin work on the development of “non-custodial wallets” and decentralized crypto exchanges with the aim of opening the doors of the crypto ecosystem to millions of users safely.
According to Durov, Telegram’s recent initiative is driven by the collapse of FTX, which, according to the Telegram CEO, shows that the industry ended up concentrated in the “hands of a few to abuse their power.”
“The solution is clear: blockchain-based projects must go back to their roots: decentralization. Cryptocurrency users must switch to trustless transactions and self-custodial wallets that do not depend on any third party.”Durov explained in his statement.
Fragment, the example to follow
Cryptocurrencies arose as a response to the excessive centralization of the traditional financial world and, ironically, this ecosystem has also fallen into the same problem.
It is precisely for this reason that now Telegram proposes that developers focus on solutions that increase the decentralization and transparency of the industry.
Only then “can we correct the errors caused by excessive centralization, which defrauded hundreds of thousands of cryptocurrency users,” Durov noted.
Durov assures that this is more than feasible, citing the development success of Fragment, Telegram’s decentralized auction platform. According to Durov, only “it took 5 weeks and 5 people including meí” develop this platform.
For those who don’t know, Fragment launched last month and has raised $50 million USD in Toncoin so far for the sale of tokenized usernames on the blockchain.
Interestingly, Fragment is hosted on The Open Network (TON), the result of a series of events started by Telegram’s ambitions to develop a blockchain that was not possible due to the SEC.
“Telegram’s next step is to build a suite of decentralized tools, including non-custodial wallets and decentralized exchanges for millions of people to safely trade and store cryptocurrency.Durov assured.
The fault is not in the technology, it is in the people
Pavel Durov is not the first to emphasize that the current crisis in the crypto market has nothing to do with technology.
Charles Hoskinson, founder of Cardano, also argued to the Financial Times that the “failures are trustworthy, they are regulatory failures, they are people’s failures”.
“The time when the inefficiencies of legacy platforms justified centralization should be long gone. With technologies like TON reaching its potential, the blockchain industry should finally be able to fulfill its primary mission: to return power to the people.e,” Durov concluded his statement on Telegram.
Meanwhile, according to CoinDesk, the backers of the TON network have also announced a US$126 million bailout fund for projects that are experiencing liquidity problems as a result of the FTX collapse.
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