Folded cup develop.

Folding a cup already made + jacket to help it stand up (because the folding bends the circular base out of shape)
jacket could be made out of thicker cardboard to hold around the cup to protect the hand from the heat of the boiling water

Paper doesnt hold the cup flat, but would be different with a thicker material

 All the black lines are where the cup was scored so it folds more easily, and puts less unpredictable stress marks across the cardboard

Extra fold lines around the cup to make more of a octagon shape (closer to circular)

so is a lot more pleasant to drink liquid from