Huobi and KuCoin are among the backers of a new $250 million ecosystem fund that aims on supporting projects built on Toncoin. Toncoin is the reincarnation of the failed cryptocurrency TON.
Besides Huobi Incubator and KuCoin Ventures other investors are MEXC Pioneer Fund, 3Commas Capitals, Orbs, TON Miners and Kilo Fund, the TON Foundation announced on Monday.
The fund will support developers building on the TON blockchain. This will be done with incubation, investments and grants the TON Foundation stated.
TON is a layer 1 blockchain compatible with messaging service Telegram. Its predecessor was dependent from Telegram. TON is independent but endorsed by CEO Paul Durov.
Telegram shut TON down in August 2020 after a lawsuit from U.S. markets regulator SEC. The lawsuit was based on allegations of running an unregistered securities sale in 2018 that had brought in $1.7 billion.
While TON was shutdown in 2020 members of the TON community continued to develop the blockchain and re-branded the project to Toncoin. This fund is the first to support projects wishing to build on it.