The Securities and Exchange Commission have “filed an emergency action and obtained temporary restraining order” against Telegrams ICO.
They say that the GRM token constitutes as being unregistered digital token offering. The press release says the SEC has filed an emergency action and restraining order against Telegram and the Telegram Open Network (TON) in a complaint with Manhattan court.
The SEC’s co-director of Enforcement commented in the release that it is doing this to “prevent Telegram from flooding the U.S. markets with digital tokens that we allege were unlawfully sold.” Stephanie Avakian followed on saying that the company, in the eyes of the SEC, has “failed to provide investors with information regarding Grams and Telegram’s business operations, financial condition, risk factors, and management that the securities laws require.”
For those who dont know about them. Telegram is the massive messaging application that has become a home for the crypto community. The Russian firm raised some USD 1.7 billion over the past few years for a blockchain network and its native cryptocurrency, Grams.
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