TON blockchain sees significant drop in daily active users

The Open Network (TON) blockchain has seen a significant decline in daily active users, according to recent on-chain data from IntoTheBlock.

As shared by IntoTheBlock on X, the number of daily active users on the TON network has sharply dropped in recent weeks. During this period, Toncoin, the native token of the Telegram-supported decentralized blockchain, has also struggled to gain upward momentum.

TON’s Decline in Active Users

A report from DappRadar highlighted that TON saw a surge in daily active users in early September, driven by increased activity in the crypto gaming sector. The blockchain’s gaming metric tracked users across Telegram-based decentralized applications (dApps), with popular dApps like Catizen and Yescoin contributing to the growth.

However, after reaching a peak of over 5 million daily active users on September 27, TON’s active user count plummeted to just 1.58 million by October 21. This sharp drop from 5.16 million to 1.58 million came alongside broader market turbulence and a slowdown in network activity.

Additionally, the number of new addresses and zero-balance addresses also saw a steep decline. New addresses fell from 2.58 million to under 650,000, while zero-balance addresses dropped from 346,000 to just 68,000.

Possible Causes for the Decline

IntoTheBlock analysts pointed out that TON has experienced spikes in active users during major events and hype cycles. However, the most recent drop appears to be linked to a broader market slowdown. Telegram’s recent challenges, including the impact of founder Pavel Durov’s arrest, seem to have coincided with the decline in user activity on the TON blockchain.

Despite this downturn, there are still factors that could drive a rebound in active users. Events like major airdrops on the TON network (such as the Dogs token airdrop) and integrations like the Alchemy Pay partnership may help revive network activity and boost the number of active users.