Animoca Brands CEO Predicts Telegram Will Become Essential for Every Web3 Project

The future of Web3 projects is on the verge of a significant transformation, with a notable emphasis on the integration of Telegram into user engagement strategies.

The surge in popularity of Telegram gaming has caught the attention of many in the crypto space, particularly as projects like Hamster Kombat attract over 300 million users.

This momentum signals a potential shift towards mass adoption within the Web3 ecosystem.

What Role Will Telegram Play in User Onboarding?

The rise of Telegram as a platform for user acquisition has led Robby Yung, CEO of Animoca Brands, to predict that every Web3 project will soon incorporate a Telegram strategy for onboarding users.

He explained to Decrypt at Zebu Live in London,

“Anybody with a Web3 app will have a Telegram strategy for user onboarding because it represents a distribution, advertising, and marketing vector. It represents the top of the funnel for user acquisition.”

This integration is not merely an option; it has become a necessity for developers looking to broaden their reach.

Robby Yung is the CEO of Animoca Brands, a mobile game developer based in Hong Kong, and a partner at Animoca Capital.

Yung elaborated on the various forms this integration could take.

It might involve creating engaging games that lead users to the main project experience or developing educational chats that guide users through the platform's features.

The case of PiP World illustrates this trend effectively.

The educational gaming ecosystem designed a tap-to-earn Telegram game to draw users in, successfully attracting nearly 370,000 monthly users to its announcement channel, where they can be directed to other products.

Is Telegram Setting a Precedent for Other Platforms?

Yung emphasised the importance of incorporating a Telegram strategy, drawing a parallel with the banking industry's past.

He remarked,

“If I'm making a browser-based experience, there's no reason why I wouldn't have a Telegram complement, just in the same way that the banking industry 15 years ago said: Now we should have a mobile app as well as our website for people to do online banking.”

This comparison underlines how critical it is for Web3 applications to adapt to user habits and preferences in the current digital landscape.

The evolution of Telegram as a social media messaging app — especially after its introduction of a native wallet and support for crypto projects — has significantly contributed to its growth, with the platform now boasting 950 million total users.

The attraction for crypto gaming projects is evident; Telegram has provided an effective avenue for them to build extensive audiences, frequently reaching hundreds of millions.

What Evidence Supports Mass Adoption?

Yung's assertion of Telegram as a representation of mass adoption is backed by striking statistics.

He noted,

“If you look at the numbers that Hamster Kombat and these kinds of things have put up—Notcoin, etc.—that is mass adoption. I mean, you should be happy with [300 million] users, right?”

This impressive growth is projected by data from Chainalysis, which reveals that the number of crypto wallets with a positive balance increased from less than 250 million at the start of 2023 to nearly 400 million by March 2024.

Furthermore, the popularity of The Open Network’s native currency, TON, reflects this trend, with its total number of holders surpassing 100 million.

Yung views this milestone as emblematic of mass adoption, attributing it to Telegram's status as the first major platform to fully embrace Web3 initiatives.

Are Traditional Platforms Holding Back Web3 Gaming?

The challenges faced by Web3 gaming due to the restrictions imposed by traditional distribution platforms are significant.

Yung stated, “The problem that we've had in Web3 gaming is that all of the traditional distribution platforms have been largely closed to us,” referencing gaming stores like Steam, which have banned crypto and NFTs.

Telegram's unique position allows it to provide substantial global distribution without imposing similar restrictions on Web3 features, making it a pivotal platform for emerging projects.

The effectiveness of tap-to-earn games within Telegram showcases the platform's potential for viral marketing.

These games incentivise users to engage in social sharing, as seen with Hamster Kombat’s YouTube channel, which garnered over 37 million subscribers, and Notcoin's gaming token, which reached nearly a $3 billion market cap.

This innovative approach exemplifies how Telegram can amplify the visibility and user engagement of Web3 projects.

How Will Other Projects Adapt to This Model?

Yung's observations suggest a future where other projects will likely adopt similar marketing strategies to enhance their offerings beyond Telegram.

As Web3 applications recognise Telegram's success in user acquisition, developers may implement tailored strategies for various social platforms.

For instance, utilising Instagram’s visual storytelling or Twitter’s real-time updates could enhance user engagement and expand reach.

As the crypto landscape continues to evolve, integrating social platforms like Telegram becomes essential for growth.

This shift signifies a change in how projects connect with audiences, making social media a crucial part of their marketing mix.

By embracing these strategies, projects can foster a more interactive ecosystem, ensuring relevance in a competitive market.