TON Strategy said it generated $15 million in staking revenue in the second quarter, up from $3 million in the prior quarter, as changes to the TON network increased validator rewards and pushed staking yield higher.

The company, which is focused on the TON ecosystem, held about 230.5 million GRAM at the end of June. Nearly all of that position, about 229.9 million GRAM, was staked, while pretax income from continuing operations reached $83.5 million, largely due to a rise in the fair value of its token holdings.

Higher staking income after network upgrade

TON Strategy said it earned about 9.4 million GRAM in staking rewards during the quarter. It reported an annualized staking yield of roughly 17%, attributing the improvement to the TON network’s Catchain 2.0 upgrade.

According to the company, the upgrade reduced block generation time to about 0.4 seconds from roughly 2.5 seconds. That change increased validator rewards and helped lift staking revenue sharply compared with the first quarter.

Large GRAM position dominates the balance sheet

By June 30, the company held around 230.5 million GRAM, with about 229.9 million GRAM committed to staking. TON Strategy said that amount represented roughly 4.4% of total GRAM supply and about 35% of the network’s staked assets.

The fair value of its digital assets rose to about $369.5 million at the end of June, up from $272 million at the end of March. The company also reported $29 million in cash and restricted cash and said it had no debt.

Valuation gains drove quarterly earnings

Second-quarter operating profit was $500,000, according to the company. Pretax income from continuing operations came to $83.5 million.

Most of that result was tied to an $82.8 million valuation gain from the increase in the fair value of its GRAM holdings, underscoring how heavily the quarter’s earnings were influenced by token price movements rather than operating income alone.

Restructuring continues as legacy operations wind down

Alongside its quarterly results, TON Strategy said it is continuing to wind down legacy businesses and reshape its cost base. The company said it is targeting about $4 million in annual cash operating expense reductions.

Those cuts are expected to come through vendor terminations as well as lower staffing and outsourcing costs. The update points to an effort to simplify the business while concentrating more fully on its treasury strategy tied to the TON ecosystem.

Token renaming is the latest confirmed network change

Separately, the TON blockchain’s native token was renamed Gram from Toncoin on June 8, and its ticker was changed to GRAM.

That renaming provides the most recent confirmed network-level change alongside the Catchain 2.0 upgrade cited by the company. Future updates are likely to center on whether staking income remains elevated and how the restructuring affects expenses as the legacy businesses are phased out.

Source: en.bloomingbit.io