With the significant growth of USDT and the launch of Society DAO, the TON Network expands its potential. Despite this, the price of Toncoin continues to slowly decline.
Can The DAO promote decentralization and push the price back up?
The growth of USDT on the TON network and its impact on DeFi
The Tether USDT stablecoin on the TON Network recently hit an impressive milestone by crossing the $1 billion mark. This represents a whopping 670% growth over the past six months, reinforcing the rapidly growing Decentralized Finance (DeFi) capabilities on the TON network. In May, the value of USDT online was $130 million, but since then the amount has been steadily increasing, with a total value locked (TVL) of $720 million, according to DeFiLlama.
The partnership between Tether and TON Network, which started in April this year, is seen as an important step for the growth of DeFi on the platform. The addition of USDT has made the TON network more accessible to users looking for a stable store of value and exchange within the Telegram environment. In addition, there are plans to launch a Dirham-based USDT version to increase liquidity in the Middle East. This expansion is seen as a potential catalyst for further growth, which would also benefit the availability of USDT online.
https://twitter.com/cryptoquant_com/status/1852813431608639819
Toncoin price analysis and the impact of the new DAO
Despite this positive development around the TON network and USDT, the price of Toncoin is lagging behind. The coin is currently down with a loss of 2.7% in the last 24 hours at $4.88. This comes as a surprise to many investors, as Toncoin managed to benefit from the growth of the network in the earlier moments. However, analysts still predict that Toncoin has the potential to reach $20 in this bull cycle, but this depends on the further development of the TON ecosystem and the demand for DeFi services.
A new development that should strengthen decentralization in the TON network is the introduction of the TON Foundation’s DAO. This DAO is designed to give the community more power over internal network decisions and increase autonomy. The DAO offers community members the ability to manage resources and align goals with the long-term growth of the network. Despite the focus on decentralization, the TON Foundation continues to actively provide financial support, which can help lay a solid foundation for the DAO.
TON’s Path to Decentralization: The DAO Society
Talk is easy, action is hard, and no more than a real Web3 Decentralization Experiment!
This is why the Open Network Foundation is resolutely committed to this by introducing the Society DAO – a new community-driven governance… pic.twitter.com/zZjkfm2OHa
— TON 💎 (@ton_blockchain) November 1, 2024
Society DAO’s role in decentralizing the TON network
The TON network has centralization concerns, especially since many projects rely on the TON Foundation as a primary source of capital. To address these concerns and promote decentralization, the Society DAO was developed. This structure allows community members to make their own decisions regarding resource allocation and network growth. Led by TON Foundation Chairman Steve Yun, The DAO offers a transparent and open-source model that encourages the community to take a greater role in decision-making.
Society DAO introduces a system that allows community members to make decisions based on performance while also giving new projects access to open source funding. The DAO aims to prevent dependence on a central authority from making the network vulnerable to centralization risks. The goal is to pave the way for a fully decentralized and autonomous ecosystem that works according to its users.
The growth of USDT on the TON network shows that the platform is gaining influence in the DeFi world. At the same time, the introduction of Society DAO provides the TON community with more power and opportunities to participate in the development of the ecosystem. While the price of Toncoin remains stable at the moment, the combination of new governance structures and expanded liquidity options could positively impact Toncoin’s future value. The question remains whether these initiatives will be enough to truly decentralize TON and make it attractive to new users.
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