Telegram CEO Pavel Durov admitted that his platform has been disclosing user IPs, phone numbers, and addresses to law enforcement since 2018. Crypto security experts are dismayed by this revelation.

Nevertheless, Toncoin’s price has remained relatively stable.

A Longstanding Policy

Pavel Durov, founder and CEO of messaging app Telegram, claimed that his company has been disclosing user information since 2018. This revelation comes on the heels of Durov’s recent arrest for allegedly enabling criminal activities on the platform. Since his release, he first claimed that Telegram would crack down on illegal material, but he clarified those comments today.

“Whenever we received a properly formed legal request via relevant communication lines, we would verify it and disclose the IP addresses/phone numbers of dangerous criminals. This process had been in place long before last week,” Durov stated.

Read More: Crypto Telegram Groups To Join in 2024

This clarification, however, revealed a longstanding secret policy. Durov claimed that Telegram’s principles of freedom, privacy, and protection for activists remain unchanged.

However, some in the crypto space have disagreed. Deddy Lavid, CEO of Web3 security firm Cyvers, gave an exclusive interview with BeInCrypto to elucidate these general misgivings.

“Telegram’s disclosure of user IP addresses is a significant concern for the Web3 community, as it undermines the privacy and decentralization Web3 stands for. Many users frequently share wallet addresses over Telegram channels, and if Telegram links these wallet addresses to IPs, it could potentially expose a user’s identity,” Lavid told BeInCrypto.

Durov claimed that Telegram’s policy of cooperation with law enforcement has remained unchanged, and the authorities have only increased their requests in recent weeks. However, his tone has noticeably changed.

“[This policy] could allow centralized platforms to connect users’ personal information to their blockchain activity. To mitigate this, Web3 projects probably will consider shifting towards decentralized communication tools that prioritize data privacy and protect users from such vulnerabilities,” Lavid added.

In the hours since Durov’s announcement, Toncoin (TON) has dropped slightly in valuation, but nothing substantial has materialized yet. It is unclear if this sense of dismay from the crypto security sector will translate into a real bearish turn for TON as a whole.

Read More: What Are Telegram Mini Apps? A Guide for Crypto Beginners

Still, a price drop may happen in the future. TON’s price has already fluctuated, corresponding to Durov’s legal troubles, and this incident might prove no different.