The decentralized exchange platform Blum has successfully raised $5 million in a funding round. This significant investment was led by gumi Cryptos Capital and saw participation from several other major venture funds, including Spartan, No Limit Holdings, YZi Labs, and OKX Ventures.
The capital will be used to accelerate the development of its innovative, gamified trading platform that operates directly within the Telegram messaging app.
A Milestone Investment for Trading Innovation
Blum’s journey has been marked by rapid adoption and significant milestones. The project boasts an enormous community of over 32 million members on Telegram, making it one of the largest crypto communities worldwide.
Since its official launch, the platform has demonstrated impressive on-chain activity, registering over 2.2 million unique wallets. This swift growth is largely attributed to its strategic pivot from a simple "tap-to-earn" model to a more engaging "trade-to-earn" model, solidifying its position as a major force in decentralized finance.
Expanding Features and Ecosystem
The influx of $5 million in funding will be directed toward several key development areas. A primary focus is on implementing multichain support and further expanding the capabilities of its popular trading bot. This bot has already attracted over one million users, establishing itself as the largest of its kind on Telegram.
Furthermore, Blum plans to enhance its Blum Memepad platform. This unique tool allows users to create meme coins within a single, streamlined interface. The Memepad initiative is already a leader on The Open Network (TON) and ranks second globally, boasting a staggering $200 million in trading volume, the creation of 200,000 tokens, and 380 coins listed on various decentralized exchanges.
Investors cited several compelling reasons for backing Blum, including its exceptionally high user activity, its successful transition to a sustainable engagement model, and its potential to become the dominant DEX within the expanding TON ecosystem.
“This funding marks a significant milestone for Blum as it will fuel the development of our trading features. We are profoundly grateful to our partners and early supporters for their confidence in our vision,” said Gleb Kostarev, CEO and Co-Founder of Blum.
Beyond this recent round, Blum has also previously received backing from other notable entities, including The Open Platform (TOP) and the venture arm of a major global exchange.
Navigating the Shift Beyond Tap-to-Earn
The broader landscape for Telegram-based crypto games is shifting. Once-popular "tap-to-earn" games have seen a sharp decline in user interest, with search popularity for the term falling dramatically throughout the latter half of 2024.
This trend highlights a critical challenge: platforms cannot rely solely on initial incentive mechanisms like airdrops to maintain a loyal user base. Blum has proactively addressed this by evolving its core product offering. Instead of simple tapping mechanics, the platform now focuses on retaining users through advanced, AI-powered trading tools and features designed for long-term engagement.
The project’s leadership is focused on building a comprehensive and sustainable trading ecosystem. 👉 Explore more strategies for engaged community building that go beyond simple incentive models.
“Our mission is to create the ultimate trading app, designed with traders and the community at its core. We’re taking a deliberate approach, rolling out features step by step to ensure they’re done right,” said Vlad Smerkis, CMO & Co-Founder of Blum.
Frequently Asked Questions
What is Blum?
Blum is a gamified decentralized exchange (DEX) that operates as a mini-app on Telegram. It allows users to trade cryptocurrencies and engage with a "trade-to-earn" model, moving beyond the simple "tap-to-earn" games that were previously popular.
How will the $5 million funding be used?
The newly secured capital will be allocated to develop new platform features. Key areas of focus include adding multichain support, expanding the capabilities of its AI-powered trading bot, and further developing its meme coin creation platform, the Blum Memepad.
What makes Blum different from other Telegram trading bots?
Blum distinguishes itself through its massive user community, high on-chain activity, and its evolution into a full-fledged trading ecosystem. Its focus on AI-driven tools and a sustainable "trade-to-earn" model sets it apart from platforms reliant on temporary incentives.
What is a trade-to-earn model?
A trade-to-earn model incentivizes users to participate actively on a platform through trading activities. Instead of earning rewards for simple actions like tapping a screen, users are rewarded for their trading volume, market participation, and overall engagement with the platform's economy.
Which blockchain does Blum primarily use?
While Blum is expanding to multichain support, it is a major player within The Open Network (TON) ecosystem. Its Memepad platform is a leading project on TON, facilitating significant trading volume and token creation.
Is Blum available to users globally?
As a Telegram-based application, Blum is accessible to a wide global audience. However, users should always check their local regulations regarding the use of decentralized exchanges and cryptocurrency trading to ensure compliance.