Subscribe to Bankless or sign in
Telegram founder Pavel Durov was arrested in France this weekend; the billionaire CEO's arrest triggered wide rebuke across crypto.
What’s the Scoop?
- Airport Arrest: Pavel Durov, the 39-year old Russian-born billionaire founder behind social messaging platform Telegram, was apprehended by French authorities on Saturday after landing at Le Bourget airport outside of Paris by national cyber crime and fraud officers for failing to curb criminal activities on Telegram.
TON Tumbles: While Telegram is officially distinct from the decentralized TON blockchain, its token cratered 20% on news of the arrest, an unsurprising result considering that TON’s narrative strength has been largely driven by promised synergies with Telegram.- Oversight Unknowns: Telegram group messages cannot be encrypted and individual user messages are not encrypted by default, meaning the company has visibility into the vast majority of user conversations occurring on its platform.
Bankless Take:
Europe's increasingly hostile regulatory regime took a major leap with this weekend's arrest. This saga spawns more concerns about precedents that could result in the imprisonment of additional software developers, but it is important to note that Telegram’s lack of default encryption likely exposed the firm and its founder to added regulatory scrutiny.
They started arresting crypto developers a couple years ago. Now they’ve moved to messenger app developers.
— RYAN SΞAN ADAMS - rsa.eth 🦄 (@RyanSAdams) August 25, 2024
It won’t stop here.
If we don’t preserve free speech as code we’ll lose our democracies.
Europe is falling.
The U.S. is hanging by a thread. pic.twitter.com/iHad8qX4gG
