$500 million on-chain fund has been launched on The Open Network (TON) to tokenize Telegram's corporate bonds, marking one of the largest real-world asset (RWA) deployments in the DeFi space to date. This groundbreaking initiative bridges traditional finance with blockchain technology, offering a glimpse into the future of institutional capital markets.
Libre, a regulated RWA platform with an established track record of working alongside global asset managers like BlackRock and Brevan Howard, is collaborating with the TON Foundation to manage the fund. The initiative offers accredited and institutional investors blockchain-based access to Telegram's $2.4 billion in outstanding corporate debt, representing a significant milestone in the institutionalization of decentralized finance.
Dubbed the Telegram Bond Fund, the vehicle allows investors to subscribe to yield-generating Telegram bonds directly through TON-native wallets. Libre's comprehensive infrastructure supports fiat and stablecoin subscriptions, redemptions, and secondary trading - all while maintaining regulatory compliance across multiple jurisdictions.
"This represents the natural evolution of capital markets infrastructure," explained Dr. Jez Mohideen, Chairman of Libre and CEO of Nomura's Laser Digital. "We're combining institutional-grade infrastructure with the usability of mass-market blockchain technology to create something that's greater than the sum of its parts."
According to fund documentation, the tokenized bonds offer a competitive yield in the 7-9% range, significantly outperforming traditional fixed-income products while providing the transparency and efficiency benefits of blockchain technology. Investors can participate with minimums starting at $100,000, substantially lower than the typical $1 million minimum for traditional bond purchases.
The fund will also serve a dual purpose beyond direct investment: participating in future Telegram bond issuances and acting as on-chain collateral for borrowing and yield-generation across the TON ecosystem. This creates a flywheel effect where the tokenized bonds can be utilized within DeFi protocols while maintaining their connection to underlying real-world value.
"What we're witnessing is the beginning of a fundamental shift in how capital markets operate," said Alex Filatov, TON Foundation's Strategic Advisor. "By bringing Telegram's bonds on-chain, we're demonstrating that even the most complex and large-scale financial instruments can benefit from blockchain's efficiency, transparency, and programmability."
Inside Telegram's Bond Economics
Telegram's corporate debt has become increasingly attractive to investors following the company's remarkable growth trajectory. With over 950 million monthly active users and a successful premium subscription model, the messaging platform has transformed from a venture-backed startup to a revenue-generating technology giant.
The company's financial profile has strengthened considerably since its initial bond issuances. Financial disclosures tied to the bond offerings reveal that Telegram generated approximately $2.13 billion in revenue in 2023, primarily through its Telegram Premium subscription service and advertising. This represents a 174% year-over-year increase from $776 million in 2022.
"Telegram has evolved into a cash-flow positive business with strong fundamentals," noted Maria Shen, partner at Electric Capital and blockchain analyst. "The company's bonds offer exposure to one of the fastest-growing private tech companies globally, now accessible through blockchain rails."
The underlying bonds being tokenized include tranches from Telegram's past financing rounds, including its $2 billion debt placement in March 2024, which was significantly oversubscribed. The securities carry maturities ranging from 3-7 years, providing investors with various duration options to match their investment horizons.
Notable institutional holders of Telegram's debt include Abu Dhabi's Mubadala Investment Company, various sovereign wealth funds, and major global investment banks—many of whom are now exploring the potential of participating in the tokenized format through Libre's platform.
Technical Architecture and Security Measures
The tokenization process utilizes a robust technical architecture that preserves the bonds' legal and regulatory characteristics while enabling their representation on TON blockchain.
Libre's platform employs a dual-custody model where the physical bond certificates remain in traditional securities depositories, while digital representations exist as fungible tokens on TON. Smart contracts manage the verification of ownership rights, interest payments, and redemptions in an automated fashion.
Security measures include:
- Multi-signature authorization requiring approval from multiple trusted entities before transaction execution
- Real-time attestation confirming the existence and ownership of underlying assets
- Transparent custody reports published by regulated financial entities
- Compliance-focused KYC/AML procedures ensuring all participants meet regulatory requirements
- Insurance coverage protecting against technical vulnerabilities
The system also features an oracle network that bridges on-chain and off-chain information, ensuring that bond payments, maturity dates, and other critical parameters are accurately represented on the blockchain.
"We've designed the system with institutional requirements as our north star," explained Elena Ginzburg, Libre's Chief Technology Officer. "Every component prioritizes security, compliance, and operational resilience - the same standards expected in traditional finance, but with the efficiency advantages of blockchain."
TON's Evolution and Institutional Pivot
The Open Network (TON) - originally developed by Telegram but spun off under the TON Foundation following regulatory scrutiny - continues to deepen its ties with the messaging giant while establishing itself as a serious contender in the blockchain space. Telegram integrates various TON features like wallet access and username auctions directly into its messaging platform, keeping the blockchain relevant to its massive user base.
This relationship has proven mutually beneficial. While Telegram is no longer directly involved in TON's development, the blockchain's strategic pivot toward real-world assets positions it as a formidable competitor in institutional DeFi, alongside Ethereum, Solana, and other leading networks.
"TON's unique architecture makes it particularly well-suited for financial applications," said Steve Kokinos, CEO of TON Labs, a key technology provider for the ecosystem. "The combination of high throughput, low costs, and the massive user base accessible through Telegram creates an environment where traditional finance and crypto can converge at scale."
The blockchain has seen rapid growth in recent months:
- Total value locked (TVL) on TON has increased 387% year-over-year to $793 million
- Daily active addresses have surpassed 1.2 million
- Over 40 million unique wallets have been created through Telegram integration
- Developer activity has grown 218% since January 2024
Libre clarified that this fund has no connection to the similarly named meme coin that trended during Argentina's 2024 presidential race. The infrastructure provider has already tokenized over $200 million in institutional assets across various blockchain networks and plans to expand its offerings through TON significantly in the coming quarters.
Regulatory Landscape and Compliance Framework
The Telegram Bond Fund operates within a robust regulatory framework, addressing one of the most significant challenges facing institutional DeFi adoption. Libre has secured necessary licenses and registrations across multiple jurisdictions, including the UK's Financial Conduct Authority, Dubai's Virtual Assets Regulatory Authority, and Switzerland's FINMA.
This multi-jurisdictional approach allows the fund to serve a global investor base while maintaining strict compliance with securities laws, anti-money laundering regulations, and investor protection requirements.
"Regulatory clarity has been the missing piece for institutional DeFi adoption," commented Stuart Sopp, CEO of Current, a fintech company exploring RWA opportunities. "What's significant about this initiative is how it demonstrates that blockchain-based financial products can absolutely operate within existing regulatory frameworks."
The fund implements several compliance innovations:
- On-chain identity verification ensuring only qualified investors can participate
- Programmable compliance enforcing transfer restrictions and holding periods
- Automated regulatory reporting reducing administrative burdens
- Jurisdictional controls preventing participation from restricted territories
- Transparent audit trails satisfying regulatory examination requirements
These measures address concerns that have historically kept institutional capital on the sidelines of DeFi, potentially unlocking significant new liquidity flows into the ecosystem.
Explosive Growth in Tokenized Finance
The launch of the Telegram Bond Fund coincides with a broader surge in RWA tokenization across the financial landscape. The market for tokenized U.S. Treasuries alone has crossed $6.16 billion in total value locked (TVL), led by BlackRock's BUIDL fund, which recently surpassed $2.5 billion in market capitalization.
"We're witnessing the beginning of a multi-trillion dollar migration," predicted Raoul Pal, macroeconomist and founder of Real Vision. "The efficiencies of blockchain-based settlement and custody are simply too compelling for traditional finance to ignore."
Other recent developments fueling the RWA tokenization momentum include:
-
Circle's acquisition of Hashnote, manager of the $1.25B USYC fund, to integrate tokenized bonds with the USDC stablecoin ecosystem, creating new yield-generating opportunities for stablecoin holders.
-
DAMAC Group's $1B partnership with Mantra, aimed at tokenizing real estate and infrastructure assets across the Middle East, opening up fractional ownership of premium properties to a global investor base.
-
TON's strategic plan to onboard Libre's broader suite of tokenized financial instruments, including private equity funds from Hamilton Lane, hedge fund products from Brevan Howard, and structured products from Nomura.
-
Franklin Templeton's expansion of its tokenized money market fund offerings, which now manage over $700 million in blockchain-based assets.
-
JPMorgan's Project Guardian advancements, which have facilitated over $300 million in tokenized trade finance transactions.
According to DeFiLlama, the RWA sector has more than doubled its TVL over the past year, now exceeding $11.14 billion - a clear signal of accelerating institutional adoption. Analysts project this figure could reach $20 billion by the end of 2025 as more traditional assets move on-chain.
Market Impact and Future Roadmap
The Telegram Bond Fund's launch is already sending ripples through both traditional finance and crypto markets. TON's native cryptocurrency has seen a 14% price increase following the announcement, while trading volumes for Telegram-related assets have surged across various platforms.
Institutional adoption appears strong, with the initial $500 million allocation reportedly already 70% subscribed by a mix of family offices, hedge funds, and corporate treasuries seeking yield alternatives.
Looking ahead, the Libre and TON Foundation partnership has outlined an ambitious roadmap:
- Q3 2025: Launch of secondary market infrastructure allowing seamless trading of tokenized bond units
- Q4 2025: Introduction of lending protocols using the tokenized bonds as collateral
- Q1 2026: Integration with major institutional trading platforms and prime brokerages
- Q2 2026: Expansion to additional corporate bond issuers beyond Telegram
"What we're building is nothing less than the foundation for the next generation of capital markets," stated Anton Napolsky, TON Foundation's Head of Institutional Strategy. "This initial fund focusing on Telegram's bonds is just the beginning of a much broader vision for bringing real-world financial assets on-chain."
As tokenization continues gaining momentum across treasuries, corporate debt, and physical assets, the Telegram Bond Fund represents a pivotal case study in how Web2 giants, institutional investors, and compliant blockchain infrastructure can coalesce to bring decentralized finance into the mainstream.
The initiative may also serve as a blueprint for other technology companies looking to tap blockchain-based financing options. Several unicorn startups are reportedly exploring similar tokenization strategies for their debt instruments, potentially creating an entirely new asset class of tech company bonds accessible through DeFi protocols.
"Five years from now, we'll look back at this moment as the beginning of a fundamental transformation," concluded Dr. Mohideen. "The walls between traditional finance and DeFi are coming down, and the result will be a more efficient, transparent, and accessible financial system for everyone."