Verb Technology Secures $558M for Groundbreaking TON Treasury Transformation

By: Eliza Bennet

Verb Technology Company has announced a transformative shift in its business strategy by securing an impressive $558 million in an oversubscribed private placement. This move aims to pivot the company into a Toncoin (TON)-focused treasury vehicle, in collaboration with Kingsway Capital. As part of this strategic overhaul, the company plans to rebrand itself as TON Strategy Co. (TSC), marking a significant milestone in the integration with the Telegram-anchored blockchain network.

Expected to become the first public company to hold Toncoin as a treasury asset, Verb’s rebranding signifies a bold foray into the crypto space. The planned pivot has been met with enthusiasm, as evidenced by the astounding 200% surge in Verb’s stock value post-announcement. The shares, including pre-funded warrants, were sold at $9.51, a strategic pricing consistent with its market standing, further propelling its stock to impressive highs.

The initiative is not only significant for Verb but also for the broader crypto ecosystem. The strategy is underpinned by the deepening collaboration between Telegram and The Open Network (TON) Foundation, which has elevated TON as the exclusive blockchain underpinning Telegram’s infrastructure. The introduction of TON Wallet into Telegram's vast ecosystem, which boasts over 1 billion global active users, stands to further cement TON as a substantial player in mainstream crypto adoption.

Additionally, the executive leadership driving this initiative includes notable figures such as Manuel Stotz, president at the Ton Foundation and CEO at Kingsway Capital, bringing valuable insights and expertise into the fold. The involvement of Peter Smith, CEO and co-founder of Blockchain.com, as a special advisor, underscores the potential impact of this move in accelerating broader cryptocurrency acceptance. Participating investors include an extensive list of over 110 institutional and crypto-native entities, anchored by reputed firms like Kingsway, Vy Capital, and Blockchain.com. This robust support underscores the confidence in this strategic move designed to leverage the capabilities of Toncoin within a well-integrated consumer platform like Telegram.