Telegram Bot tokens are turning out to be the latest invention in the crypto market, with several of these tokens seeing skyrocketing prices over the past week. Popular platforms like CoinMarketCap and CoinGecko have created separate categories for these tokens as investors flock to them and their use cases.

What Are Telegram Bot Tokens?

Telegram Bot tokens offer a variety of features, though they are largely used for trading purposes. The fact that they are customizable is a huge bonus that has attracted many users. They are decentralized applications that automate on-chain trading or farming strategies on Telegram. Bots link wallets and have the capability to create new Ethereum wallets as well.

The most popular Telegram Bot token is Unibot, which offers trades at a 1% transaction fee. There are at least 22 such tokens on the market right now, though it will not be long before more arrive.

The number of these tokens will inevitably increase as the technology is refined and more features are developed.

The growth is already happening, with the daily volume of these tokens jumping from $10.4 million to $15.1 million between July 19 and 20. As of July 21, Unibot dominates the market share with approximately 33.3%, likely due to Uniswap being the most popular DEX in the DeFi market.

How Do Telegram Bot Tokens Work?

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Telegram bot tokens are automated programs that make trades for users on DEXs, and they facilitate fast swaps. They can also execute yield farming generation.

These bots have high-speed, strong algorithmic support. Furthermore, they can have private nodes and a private transaction option for buying and selling tokens, wallet monitoring, and a token tracker.

There is some merit to the idea that there is intrinsic value to Telegram Bot tokens. They take away some of the pains of trading on DEXs and can generate transactions quickly and cheaply.

Crypto telegram groups have always been popular, but these new tokens may spur growth higher.

Telegram Bot Tokens Take Over Crypto Market

There is a clear surge in the use of Telegram Bot tokens, with the market cap of this niche crossing $93 million, a 10.5% rise over the past 24 hours. Trading volumes have reached nearly $15 million as investors begin to use these tokens for trading purposes.

The popularity has reached such a point that market ranking platforms CoinMarketCap and CoinGecko have listed a separate category for bot tokens. A quick look at these tokens’ prices shows that they have all been growing massively — some as much as over 500% in the past 24 hours.

Some of these bots have existed since May 2023, though it is only in recent weeks that they have risen in popularity. This could partly be attributed to the fact that these tokens have now reached a critical mass, with users espousing the benefits to others in the crypto community.

Many Telegram Bot tokens have only arrived in July, likely piggybacking on the success of predecessors. Still, that hasn’t stopped them from experiencing sharp increases in price.

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