Telegram CEO Pavel Durov has revealed plans to introduce a non-fungible token (NFT) conversion feature as part of the platform’s new Gifts rollout. Telegram’s latest feature, launched on October 5, allows users to send animated images as Gifts, which can be displayed on a profile or converted into the platform’s in-app currency, Stars.

The platform, which initially launched Stars in June as a payment tool for its Mini Apps, is now taking a step further. Durov announced that some of these limited-edition Gifts will soon be convertible into NFTs based on the TON blockchain. This conversion will enable users to auction and trade these digital collectibles outside of Telegram, with ownership recorded on the blockchain.

Telegram’s pivot to NFTs comes at a time when the market for digital collectibles is facing significant challenges. In September, the NFT market recorded its lowest sales volume since January 2021, with only $296 million in transactions, representing an 81% drop from March’s peak. NFT transactions also saw a 32% decline month-over-month, falling from 7.3 million in August to 4.9 million in September.

Despite the downturn in the broader market, Telegram remains optimistic, with plans to fully support NFTs later this year. The platform’s initiative follows the footsteps of Hamster Kombat, a Telegram-based Web3 game, which also announced NFT integration by November. While the overall NFT landscape struggles, Telegram’s embrace of digital collectibles could shake up the market.

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