• Durov bets the house
    Cryptocurrencies,  Regulation

    Telegram’s Pavel Durov bets the house on TON

    Pummeled by in court by the U.S. Securities and Exchange Commission, Pavel Durov offered TON blockchain investors a choice: a 28% loss now or 10% profit in a year—backed by equity in his Telegram messaging platform

    In an April 30 letter to investors, Durov put his stake in the Telegram messaging app on the table, offering to reimburse 110% of their investment with his own money if they let their gram token investment ride for another year. Otherwise, they can cash out now, getting back 72 cents on the dollar.

  • 11 crypto firms sued illegal ICOs
    Cryptocurrencies,  People,  Regulation

    Crypto faces ‘The man who took on Wall Street’

    On the day before the statute of limitations expired, the lawyer who extracted $25 billion from banks over the subprime mortgage crisis sued 11 cryptocurrency firms for holding illegal ICOs

    Eleven cryptocurrency issuers and exchanges including Tron, Block.one, and Binance were hit with class action lawsuits last week for holding or supporting initial coin offerings. Ominously, they were filed by a group of lawyers led by Philippe Selendy, who the Financial Times called “The man who took on Wall Street” after he forced 16 major banks including Citigroup, Goldman Sachs, and JPMorgan Chase to pay $25 billion for their part in the subprime mortgage crisis that sparked the Great Recession of 2007.

  • Court to Telegram No gram sales
    Regulation

    Court to Telegram: No gram token sales anywhere

    Telegram’s hopes of launching its TON blockchain anytime soon were dashed when a federal judge blocked the public sale of $1.7 billion in gram tokens—even outside of the U.S.

    It’s never a good sign when a judge says the argument in favor of your motion, “is less than straightforward, to be polite.” Unfortunately for messaging app turned blockchain developer Telegram, that's exactly what federal Judge P. Kevin Castel said when its lawyers asked him to “clarify” whether it could sell of gram tokens outside the U.S. while an SEC lawsuit delays the launch of its TON blockchain.

  • Court to Telegram No gram sales
    Cryptocurrencies

    SEC to Telegram: Too little, too late

    The Securities and Exchange Commission has told a judge that Telegram should not be allowed to issue $1.7 billion worth of gram tokens to non-U.S. buyers

    Telegram had planned to launch the Telegram Open Network, or TON, blockchain on Oct. 31, 2019. At that time, it planned to create 2.9 billion gram tokens, which sold to the general public. The SEC said that public sale would be an unregistered and illegal securities offering, and sued to block it.