CDPs · Review
ActiveTelegram USD Review 2026: A Yield Stablecoin on TON
Telegram USD (tgUSD) is a yield-generating stablecoin on TON from Torch Finance, aimed at Telegram users. It is a young, small protocol, and details on its backing and yield source are thin.
By the DappsAtlas editorial team · Updated
DappsAtlas score
5.5/10
Mixed
Our verdict on Telegram USD
5.5/10Telegram USD suits TON users who want a stablecoin and stable swap built around Telegram, and who are comfortable with early-stage DeFi. Its strengths are a clear focus, a Curve-linked design and a listed audit. The main caveat is transparency: reserve composition, yield source and fees are not detailed, and total value locked is small at about $364,000. Treat it as a small experimental position and read the audit report first.
Score breakdown
How Telegram USD scores
- Security
- 5.0/10
- Ease of use
- 6.5/10
- Fees
- n/a
- Features
- 5.5/10
Scores run from 0 to 10 and are based only on facts we could verify. Where information was missing we mark the score n/a rather than guess.
What is Telegram USD?
Telegram USD (tgUSD) is a stablecoin on the TON blockchain, issued through Torch Finance, a project that calls itself a Liquid Stables Hub on TON. It is pitched at Telegram users who want a stable asset that earns yield and can be used in DeFi.
Torch offers three products. A stable swap engine handles stablecoin trading, tgUSD is the yield-generating stablecoin, and PayFi is listed as coming soon. The homepage also says Torch is an official TVM partner of Curve Finance and that its code has been audited.
The protocol is small. DefiLlama shows about $364,000 in total value locked, unchanged over the past week, and has listed it since May 2025. It lists one audit and no governance token. The homepage does not publish reserve details, fees or team names.
How Telegram USD works
Torch Finance is a stablecoin hub on the TON blockchain. Its stable swap lets users trade between stablecoins in shared liquidity pools. Pools of this kind are built so that similarly priced assets trade with little price impact.
Telegram USD (tgUSD) is the project's own stablecoin. It is described as backed by blue-chip assets and as generating yield, and DefiLlama tracks it under the CDP category. That suggests tgUSD is minted against deposited assets rather than issued as a plain fiat-backed token, but the homepage does not spell out collateral types, ratios or the yield source.
A third product, PayFi, is marked as coming soon. It is meant to bring payments and time-value-of-money features to the TON Virtual Machine.
6 features
Key features
01
Yield-generating stablecoin
tgUSD is a stablecoin on TON described as backed by blue-chip assets and designed to generate yield for Telegram users.
02
Stable swap engine
Torch runs a stablecoin trading engine that advertises deep liquidity, low slippage and low fees for exchanging stable assets.
03
Curve TVM partnership
The project says it is an official TVM partner of Curve Finance, bringing Curve-style stable swap design to TON.
04
Modular, composable design
Torch describes a plug-and-play system meant to let other DeFi applications build on its liquidity and stablecoin.
05
Telegram-focused design
The homepage presents tgUSD as built for the Telegram ecosystem, matching TON's link to the Telegram app.
06
PayFi (upcoming)
A planned product described as bringing time value of money to the TON Virtual Machine. It is marked coming soon.
Pros and cons
What we like
- Focused on stablecoin liquidity, with a stable swap and a native stablecoin in one place.
- Built for TON, which has a direct link to the Telegram user base.
- Says it is an official TVM partner of Curve Finance.
- One audit is listed, and the homepage stresses security.
- Modular design aims to let other TON DeFi apps build on it.
Watch out for
- Small footprint: about $364,000 in total value locked, so liquidity and track record are limited.
- Reserve composition, collateral ratios and the source of the yield are not detailed on the homepage.
- Only one audit is listed, and the audit firm and scope are not shown.
- The PayFi product is marked as coming soon, so the payments side is not yet live.
- Exposure to a single chain (TON) and to Telegram-centred infrastructure.
- No governance or utility token is listed, so it is unclear how the protocol is governed or funded over time.
Telegram USD fees
Fees are not published as specific numbers. The homepage says only that the stable swap offers low slippage and low fees for exchanging.
Expect swap fees, and possibly minting or redemption costs, plus TON network gas. Users would see the exact figures in the Torch app before confirming a transaction.
Is Telegram USD safe?
One audit is listed for the protocol, and the homepage says it is audited. The auditor name and findings are not shown, so users should locate and read the report. Beyond that, the project does not publish details on custody, reserves or a bug bounty.
Main risks are smart-contract bugs, a loss of the tgUSD peg, and thin liquidity given the small TVL of about $364,000. The protocol is also a young deployment, listed since May 2025, with limited history. No hacks or incidents appear. Use only funds you can afford to lose.
6 steps
How to get started with Telegram USD
- 1
Read the official Torch Finance site and documentation, including the audit details, before depositing anything.
- 2
Set up a TON-compatible wallet and fund it with a small amount of TON for network fees.
- 3
Open the Torch app from the official site and connect the wallet.
- 4
Review the quoted swap or mint terms, including slippage and fees, before approving.
- 5
Start with a small test amount, then check that you can swap or redeem back as expected.
- 6
Monitor the tgUSD peg and any changes to the protocol before adding more.
Who Telegram USD is for
This is for TON and Telegram users who already use DeFi and want a native stablecoin plus a stable swap. It is less suited to anyone who needs deep liquidity, a long track record or fully documented reserves.
Telegram USD FAQs
What is Telegram USD (tgUSD)?
Telegram USD, or tgUSD, is a stablecoin on the TON blockchain issued through Torch Finance. It is described as backed by blue-chip assets and built to earn yield for Telegram users.
What is Torch Finance?
Torch Finance describes itself as a Liquid Stables Hub on TON. It runs a stable swap engine for trading stablecoins and the tgUSD stablecoin, with a PayFi product listed as coming soon.
Does tgUSD pay yield?
The homepage calls tgUSD yield-generating, but it does not state the yield source, rate or reserve breakdown. Check the app and official documentation for current figures before relying on any yield.
Is Telegram USD audited?
The project says it is audited, and one audit is listed for it. The audit provider and findings are not shown, so read the full report before depositing. An audit reduces risk but does not remove it.
Which blockchain does it use?
The protocol runs on TON. Its homepage also says Torch is an official TVM partner of Curve Finance, tying its design to Curve-style stable swaps on the TON Virtual Machine.
What are the main risks?
Stablecoins can lose their peg, smart contracts can have bugs, and a small pool can be hard to exit in size. With roughly $364,000 locked, this is an early-stage product, so only risk what you can afford to lose.
Compare
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How we checked
Sources
Last updated . Spotted an error? Tell us and we will correct it.