Dubai based instant messaging service Telegram which has over 200 million monthly active users, is setting itself to raise $850 million in March as it increases its initial coin offering for a 3rd month.
In February, Telegram’s ICO broke all records for the highest value raised just by selling its cryptocurrency.
They are now looking to match their February total as investors keep placing orders despite the price being triple.
Darren Franceschini, CEO of Blockchain Technologies Consulting says Telegram’s ICO is “a double-edged sword” and “It will show that there is room for established businesses to join this space with a capital raise of their own.
“It will unfortunately also provide a new sense of possibility amongst others when it comes to their raising capabilities that may further saturate the market.”
Thousands of new cryptocurrencies have been issued since the massive success of Bitcoin.
In December Bitcoin rose to above $19,000 and then in January 2018, its value plummeted to almost $6,000.
Since that price drop, Bitcoin has grown slowly. Cryptocurrencies are very volatile and often see huge changes in their price.
Telegram is building their own Blockchain that will have Gram built over it, make it faster than its rival networks which trade Bitcoin and Ethereum.
In February Grams were worth $0.38 each and now have tripled to $1.33.