TON Drops 20% Following Telegram CEO Arrest

Reading Time: 2 minutes
  • Telegram’s TON coin has temporarily dropped 20% following CEO Pavel Durov’s arrest in France
  • Durov’s detention has reportedly been linked to alleged offenses related to Telegram’s operations
  • Privacy advocates have expressed outrage over the arrest, concerned about potential impacts on Telegram

Telegram’s TON coin temporarily dropped 20% after the CEO of the messaging app, Pavel Durov, was arrested in France. According to French media, his detention is related to alleged offenses regarding the social media app, but his arrest has sparked an outcry from privacy advocates. Telegram is heavily used within the crypto community due to its focus on privacy, and its users will be hoping the platform is not affected.

Dorov Left Russia Over Previous Platform

Billionaire Durov, 39, a Russian who currently resides in Dubai and holds dual citizenship in both France and the United Arab Emirates, was reportedly apprehended while returning from Azerbaijan on a private jet that landed at Le Bourget airport near Paris. Durov left Russia in 2014 after losing control of his social media platform VKontakte due to his refusal to share data on Ukrainian opposition groups with Russian authorities, and now finds himself at the center of a legal probe in France.

The French newspaper Le Monde reported that Durov’s detention is linked to an ongoing preliminary investigation into the moderation practices of Telegram, particularly its role in facilitating criminal activities. French authorities are scrutinizing the platform for its alleged failure to assist law enforcement in addressing issues such as child exploitation, cyber scams, and organized crime.

Durove “Has Nothing to Hide”

The French government has remained tight-lipped on the matter, with both the Interior and Justice ministries declining to comment on the investigation. Telegram responded on Sunday night to claim that it complies with all relevant laws:

Durov’s messaging platform has long been a topic of concern among global authorities due to its encrypted services, which have been utilized by various groups, including criminal organizations and militant entities, to evade law enforcement. Despite efforts by governments to curb these activities, Telegram’s encryption has made it a favored tool for disseminating content that would be prohibited on other social media platforms.

Durov’s Arrest Should be “Lesson”

Russia’s reaction to Durov’s detention was swift, with Foreign Ministry spokesperson Maria Zakharova confirming that Moscow has issued a diplomatic note demanding access to Durov. Zakharova also emphasized that the French government considers Durov’s French citizenship as his primary nationality.

Russian officials have used this incident to criticize what they perceive as Western double standards on free speech, with prominent figures like former President Dmitry Medvedev warning Russian entrepreneurs of the dangers of seeking refuge in the West. Medvedev, known for his increasingly anti-Western stance, remarked that Durov’s arrest should serve as a lesson to those who leave Russia under pressure from the Kremlin.

The value of the TON token has recovered slightly, but still remains 14% down.

Share