$DOGS a dog-themed meme coin launched on Telegram in 2024—as the "Cryptocurrency dogs" project that failed spectacularly, leading to widespread financial devastation for users. I'll break this down factually, based on what happened, why it became a massive embarrassment for Telegram, and the real-world fallout. This wasn't just a minor hiccup; it exposed deep flaws in Telegram's ecosystem for crypto projects, eroding trust and costing people dearly.
What Was $DOGS?
Launch and Hype: $DOGS debuted in July 2024 as a Telegram-native meme coin on the TON blockchain (Telegram's in-house network). It was inspired by "Spotty," a cartoon dog mascot created by Telegram founder Pavel Durov for charity. The project used a simple Telegram mini-app where users "earned" points based on account age, referrals, and daily check-ins—similar to viral taps like Notcoin or Hamster Kombat. It exploded in popularity, hitting 1 million users in 24 hours and over 50 million by launch day on August 26, 2024.
Distribution Model: Tokens were airdropped to Telegram users (prioritizing "OGs" with older accounts and Premium subscribers). It rewarded loyalty with billions of tokens, positioning itself as "the most native meme coin for Telegram." Early pre-market trading on platforms like Binance saw it valued at $865 million at launch.
This setup was genius marketing—leveraging Telegram's 800+ million users for organic growth. But it quickly unraveled.
The "Failed Launch" – What Went Wrong?
The launch on August 26, 2024, was a catastrophe on multiple fronts, turning hype into chaos:
TON Blockchain Meltdown:
The surge in transactions (millions claiming airdrops and trading) overwhelmed TON, halting block production for over 6 hours. No transactions could be processed—wallets froze, exchanges glitched, and users couldn't access funds.
Telegram's own wallet issued an alert: "The release of DOGS has caused issues with crypto exchanges and some wallet functions." This wasn't just inconvenient; it trapped users' assets during peak volatility, amplifying losses as panic selling hit once the network recovered.
Result: TON's native coin (Toncoin) dropped 5-24% in the fallout, and $DOGS itself plunged 32% from its $865M peak to around $557M within days.
Timing with Pavel Durov's Arrest:
Just one day before launch (August 24, 2024), Durov was arrested in France on charges related to Telegram's moderation policies (e.g., enabling illegal content). This tanked sentiment—Telegram-linked tokens (including $DOGS pre-market) fell 16-20% overnight.
The arrest spotlighted Telegram's Wild West crypto scene: bots, mini-apps, and meme coins with minimal oversight, fueling fears of regulatory crackdowns.
Post-Launch Dump and Dilution:
After the airdrop, massive sell-offs diluted value. Early holders (including potential insiders) dumped tokens, causing flash crashes. By late 2024, $DOGS had lost over 70% from highs in some metrics, mirroring broader meme coin rugs.
Scam clones proliferated: Fake $DOGS tokens on DEXs like PancakeSwap tricked users into phishing bots, draining wallets. No audits, doxxed team, or clear tokenomics upfront made it a red flag from day one.
These issues weren't isolated— they echoed failures in other Telegram projects like $SEED (90% crash post-listing) and $PAWS (underperformed despite 50M+ users, now worth 1/100th of rivals like Notcoin).
Why Is This the "Biggest Shame" for Telegram?
Telegram positioned itself as a crypto pioneer with TON and mini-apps, promising "fun" community-driven tokens. But $DOGS exposed it as a breeding ground for hype-driven disasters:
Ecosystem Fragility: TON couldn't scale basic demand, embarrassing a network meant to rival Ethereum. It highlighted how Telegram's "decentralized" tools (bots, apps) enable unchecked speculation without safeguards.
User Exploitation: Mini-apps collected user data (e.g., account age, contacts for referrals) under the guise of "rewards," raising privacy alarms. Critics called it a "data harvest scam" masked as a game.
Reputational Hit: Durov's arrest amplified scrutiny—regulators now eye Telegram as a scam hub. Projects like $DOGS fueled $500M+ in meme coin losses in 2024 alone, with Telegram channels pumping fakes via coordinated shills.
Broader Impact on Trust: It killed momentum for Telegram games. Users who farmed points for months felt "fooled," with posts like "they said generational wealth, but it's full of coals." This eroded faith in the platform, especially after similar flops in $NOT and taps demanding TON buys.
In short, $DOGS wasn't just a coin flop—it was Telegram's poster child for overpromising on crypto without the infrastructure, turning a "community win" into a symbol of greed and incompetence.
#MarketRebound #CPIWatch #Failedlaunch #Rugpull #BinanceHODLerTURTLE
