Telegram founder Pavel Durov has announced plans by the messaging platform to unveil decentralizedĀ cryptocurrencyĀ products, including aĀ crypto exchangeĀ and non-custodialĀ wallets.Ā
According to Durov, the new venture seeks to rectify the existing centralization of cryptocurrency entities, a factor he noted has let down millions of users with reference to theĀ FTX exchange collapse, the CEOĀ saidĀ in his official Telegram channel on November 30.Ā
āTelegramās next step is to build a set of decentralized tools, including non-custodial wallets and decentralized exchanges for millions of people to securely trade and store cryptocurrencies. This way we can fix the wrongs caused by the excessive centralization, which let down hundreds of thousands of cryptocurrency users,ā he said.Ā
Durov further pointed out that the currentĀ blockchainĀ ecosystem has deviated from its founding principle of promoting decentralization.
The Telegram founder noted due to the concentration of power in a few hands; itās no surprise that the FTX incident occurred.
āThe solution is clear: blockchain-based projects should go back to their roots ā decentralization. Cryptocurrency users should switch to trustless transactions and self-hosted wallets that donāt rely on any single third party,ā he added.Ā
Furthermore, Durov called onĀ blockchain developersĀ to build products that are easy to use for the masses. Notably, he called out the Ethereum (ETH), suggesting that the platform āremains outdated and expensive even after its recent tweaks.ā
Indeed Ethereum has recorded increased network development with theĀ Merge upgradeĀ switching the platform to the energy-efficient proof-of-stake (PoS) network.Ā
Telegramās crypto inroadsĀ
It is worth noting that Telegram has recently made inroads into the crypto space with several products. For instance, users of the messaging platform can purchase and sell cryptocurrencies without leaving the application using The Open Network (TON).Ā
At the same time, the collapse of FTX and the subsequent loss of customer funds has resulted in questions regarding the management of centralized exchanges.Ā
As the probe into the collapse continues, the exchange founder Sam Bankman-Fried has denied allegations of wrongdoing. According to a FinboldĀ report, Bankman-Fried claimed that the collapse emerged due to a āmassive correlation of things during a free market moves.ā