CoinShares launches Toncoin ETP as token plunges 60% year-to-date to $5.7B market cap

European crypto asset manager CoinShares launched a Toncoin ETP offering 2% staking yields, betting on the Telegram-linked blockchain’s 900 million user base despite the token plunging 60% year-to-date to a $5.7 billion market cap.

CoinShares highlighted, “With Telegram’s 900+ million users and TON’s high transaction capacity, the Toncoin ETP provides unique access and yield opportunities.”

This move reflects CoinShares’ strong confidence in Toncoin despite the current market volatility.

Toncoin ETP offers 2% staking yield and stable exposure

The Toncoin ETP automatically generates yield from network validation rewards, providing a 2% staking return paid in USD. “Our Toncoin ETP bridges market exposure with income generation, essential in a fluctuating environment,” said CoinShares product director Anna Müller.

The 2% staking yield strengthens the ETP’s appeal, giving investors added incentives beyond price appreciation. Technical capabilities combined with stable yield make the Toncoin ETP a compelling product for crypto portfolios.

Toncoin strengthens CoinShares’ diversified crypto portfolio

Toncoin also features in CoinShares’ Altcoins ETF (DIME), launched recently to include leading altcoins such as Solana, Polkadot, and Cardano. Müller noted, “Including Toncoin in DIME lets investors diversify while tapping growing blockchain sectors.”

This integration highlights Toncoin’s rising importance in CoinShares’ investment strategy, offering broader crypto market exposure through multiple vehicles. The Toncoin exchange-traded product complements this approach by focusing specifically on Telegram’s native asset.

Telegram ecosystem growth boosts Toncoin relevance

The launch coincides with Wallet in Telegram rolling out tokenized stocks and ETFs, expanding crypto adoption inside the Telegram ecosystem. Blockchain analyst Min-jun Kim said, “Tokenized stocks and the Toncoin exchange-traded product create a more vibrant investment environment within Telegram’s network.”

Toncoin’s price responded with a modest 5% rise to $2.30, securing 35th place by market capitalization per CoinGecko. The growing synergy between Telegram and Toncoin supports investor interest in the Toncoin ETP.