- Amidst the stir of contradictions about the unregistered token sale and SEC’s clampdown against Telegram, new information has come to light.
- Pavel Durov has claimed that they have already returned $1.2.Billion to investors in the form of cash and loan agreements.
- The initial coin offering (ICO) had seen a whopping $1.7 billion influx from investors.
Amidst the stir of contradictions about the unregistered token sale and SEC’s clampdown against Telegram, new information has come to light. The company that developed Telegram Open Network (TON); a popular messaging platform, has settled out-of-court. It is blatantly clear that the ‘Gram’ token project is now dead. Pavel Durov has claimed that they have already returned $1.2.Billion to investors in the form of cash and loan agreements. The initial coin offering (ICO) had seen a whopping $1.7 billion influx from investors.
The TON platform could not be launched timely, due to resistance from the United States courts. It is speculated that Facebook’s wrath for Libra not being considered before Gram has resulted in this situation. It ceased work on TON on May 27th.
The settlement has not yet been confirmed by the New York District Court branch but the regulator has made his stance quite clear- the project is finished. Telegram is under obligation to repay 70% of investors’ money but will not be warned on grounds of wrongdoing, according to the terms of the settlement. The CEO is content with this agreement highlighting the reason to be that they did not have to admit to wrongdoing.
Telegram has also agreed to pay $18.5 Million as a penalty, to the SEC.
Future for Telegram
Using the settlement to send a message of strength to their investors, Durov claimed that the creative development of other projects under Telegram shall continue. He mentioned that he is committed to returning the remaining funds to the customers and abide by their agreements of purchase. There are investors who do not look at Telegram as a lost cause and have faith that it will make a comeback soon.
In some subtle banter, an investor also urged Durov to return to blockchain and teach Zuckerberg a lesson.
Additionally, the Chief Internet Censor of Russia has also praised Durov by lifting the ban on Telegram and encouraging him for his conviction to fight extremism and terrorism.