Telegram bots are emerging as a growing tool for accessing the cryptocurrency market and related services, according to a recent report from Binance Research, the research division of Binance. As of early August 2023, the cumulative cryptocurrency transaction volume facilitated by Telegram bo ts surpassed $190 million .
Cryptocurrency activities executed through Telegram bots have experienced notable growth in recent months. Binance research analyst Jie Xu Chua noted in the report that on July 23, the trading volume for cryptocurrencies supported by chatbots reached an all-time high of $ 10 million. User engagement metrics also peaked in July, with over 6,000 daily unique users.
These Telegram bots have collectively accumulated more than 15,500 ETH, resulting in a total revenue of around $28 million. Just like typical Telegram bots, cryptocurrency-enabled ones enable users to interact with specific programs by sending messages on the Telegram plat form. These bots are often linked to peer-to-peer or decentralized cryptocurrency exchanges, allowing users to execute transactions using commands within the chatbot interface.
Chua highlighted that Telegram bots possess the potential to become an integral component of the cryptocurrency ecosystem, offering various crypto-related services like trading, airdrop participation, and automated token operations known as "sniping." He emphasized that these bots could establish their own niche within the crypto landscape by providing users with a relatively seamless means of executing trades.
The recent surge in Telegram bot activity is partly attributed to a rise in the associated token's value. The Unibot (UNIBOT) token, the governance token for the Telegram trading bot of the same name, recorded a 400% increase in value by the end of July, reaching an all-time high of $199 on July 28.
Chua indicated that UNIBOT significantly contributed to the recent upsurge in trading bot engagement on Telegram, with its market capitalization accounting for more than 77% of the market. The analyst cautioned that it is too early to determine whether the recent fluctuations in Telegram bot- backed Cryptocurrency activity marks a reversal in trends or just a temporary blip.
However, Chua anticipates continued development in this space, particularly in the near future, as various projects compete for market share. He also emphasized the importance of users conducting their research before interacting with any Telegram bot, given the relatively new nature of the industry and The associated risks related to asset security and smart contract vulnerabilities.
