Cryptocurrency exchange Gate.io has announced a strategic investment in The Open Network blockchain, eyeing a collaboration that will bolster Telegram-based projects.

Gate.io revealed the $10 million strategic investment in the TON blockchain on Oct. 9. The news coincided with a slight dip in Toncoin (TON) price as cryptocurrencies struggled for upward momentum.

According to Gate.io, the investment in TON will also see the crypto exchange collaborate with the TON Foundation to help advance the growth of blockchain and web3 projects within the Telegram app.

This comes as TON-based projects, including the recent explosion in tap-to-earn games with Hamster Kombat (HMSTR) and Catizen (CATI), continue to attract more users. Notcoin (NOT) is another project that benefited from its link to Telegram.

Gate.io to support TON ecosystem

Gate.io will use its investment to help bring new products that will support and accelerate innovation across TON-powered Telegram projects.

The exchange’s plans for the sector include centralized finance Telegram mini-apps. Also expected to go live is a Gate Wallet, which will launch within Telegram.

In addition to the $10 million investment, Gate Group will join the Hackers League hackathon, which offers up to $2 million in prizes and is attracting top TON projects.

Developers and startups at the series of bootcamps will focus on interoperability solutions, including bridges, cross-chain swaps, and liquidity protocols. The target is to connect different networks and, in the process, boost TON’s total value locked (TVL), transaction volumes, and adoption.

Currently, DeFiLlama data shows TON’s TVL stands at $720 million, down from a high of $1.12 billion in July 2024. Part of surge in TON TVL ealier in the year followed a spike in Telegram mini apps.