Newly released transcripts of the SEC’s depositions of Telegram executives offer a rare window into the logic and the mechanics behind its $1.7 billion token sale.
Telegram is currently on the SEC radar as the U.S regulator wants the firm to clarify issues relating to its TON token sale back in 2018. The SEC has since made a request to England’s High Court to
Messaging app firm Telegram has made a new plea to a U.S. court to drop an action brought by the SEC alleging its token is a security.
Investors who bought the firm’s gram token have agreed to accept an extended issuance date in the hope they’ll still turn a profit.
Finally Telegram blockchain testnet is here
Telegram said that it has agreed to stop selling and delivering its Gram tokens, and an injunction is thus not needed, although the Securities and Exchange Commission (SEC) wouldn’t budge.In the filing, Telegram also argued that Grams are not securities, and the SEC’s allegation “runs counter to longstanding Supreme Court precedent, the SEC’s own views relating to other cryptocurrencies, and common sense.”
Defendants sold approximately 2.9 billion digital tokens called “Grams” at discounted prices to 171 initial purchasers worldwide, including more than 1 billion Grams to 39 U.S. purchasers. Telegram promised to deliver the Grams to the initial purchasers upon the launch of its blockchain by no later than October 31, 2019, at which time the purchasers and Telegram will be able to sell billions of Grams into U.S. markets. The complaint alleges that defendants failed to register their offers and sales of Grams, which are securities, in violation of the registration provisions of the Securities Act of 1933.