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TON Steward Looks to Draw Projects to its Ecosystem With $126M Rescue Fund
The Ton Foundation's aim is to entice projects to migrate to TON, while helping to alleviate the knock-on effects of FTX's collapse.
Por Jamie Crawley
The stewards of the TON network have set up a "rescue fund" with a soft commitment of $126 million to support projects experiencing liquidity problems as a result of the FTX fallout.
The TON Foundation's aim is to entice projects to migrate to TON, while helping to alleviate the knock-on effects of the dramatic collapse of Sam Bankman-Fried's crypto empire earlier this month.
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The fund – which is backed DWF Labs, Darley Technologies, Hexa Capital and TONcoin Fund Ecosystem Partners – differs from Binance's $2 billion recovery fund, which will be used to buy distressed assets.
“We want to attract builders organically who are convinced by TON's fundamentals," Nan Wang, TON Foundation investment associate, told CoinDesk. "We are not necessarily buying out distressed assets ... However, we are willing to support top founders and projects slightly impacted by recent events."
The TON blockchain was developed by messaging app Telegram, but was abandoned in August 2020 following a lawsuit from the U.S. Securities and Exchange Commission (SEC).
Developers of the ecosystem subsequently formed the TON Foundation to keep the project alive.
Read more: BlockFi Files for Bankruptcy as FTX Contagion Spreads
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