SEC blocks Telegram with its $1.7 Billion token sale

[JollyGood]

https://www.sec.gov/news/press-release/2019-212


What detrimental effect would this have on other firms using their existing tools/software which are widely used and are then used to offer tokens to their massive user base?

Do you think this is just nit-picking by the SEC or do you think these are real concerns and not just technicalities which resulted in them halting the token sale?

What do you think Telegram should do next?

[gost111]

https://www.sec.gov/news/press-release/2019-212


What detrimental effect would this have on other firms using their existing tools/software which are widely used and are then used to offer tokens to their massive user base?

Do you think this is just nit-picking by the SEC or do you think these are real concerns and not just technicalities which resulted in them halting the token sale?

What do you think Telegram should do next?

I think that now the team will direct all forces to the settlement of the situation with the SEC, otherwise it can cause great harm to the company, because soon the launch of the platform should take place,in case of bad luck it is possible and will postpone the launch

[TeraBite]

I totally disagree with this decision SEC always took action very late against big ICOs why not they awake on the right time and now again people will lost their money without getting any refund. This is really unprofessional behavior what happening in this case because SEC has fishy track record.

[Bowtiesarecool]

https://www.sec.gov/news/press-release/2019-212


What detrimental effect would this have on other firms using their existing tools/software which are widely used and are then used to offer tokens to their massive user base?

Do you think this is just nit-picking by the SEC or do you think these are real concerns and not just technicalities which resulted in them halting the token sale?

What do you think Telegram should do next?

Definitely nitpicking by the SEC and while I'm not one to push or agree with conspiracy theories, the timing - so close to TON's distribution by the end of the month - smacks of ulterior motives. It seems to also follow the ongoing Facebook/Libra saga in which we have an influential, social media company issuing crypto that's bound to have far-reaching networking effect. However, this is one case I feel they're bound to lose because Telegram has been very tight-lipped about development, token issuance, and even any marketing of any sort that could result in that "only speculation, no utility" argument these agencies love to use.

Worst case scenario, settlement agreement.

[JollyGood]

I totally disagree with this decision SEC always took action very late against big ICOs why not they awake on the right time and now again people will lost their money without getting any refund. This is really unprofessional behavior what happening in this case because SEC has fishy track record.

Yes the SEC could have easily made a decision a very long time ago but for them to do it at the 11th hour to a project that raised $1.7 billion is beyond a monumental PR failure for both Telegram and the SEC.

I share your views but there is another factor to keep in mind too. Just look at what happened to the OneCoin" project. Ruja Ignatova (the self-styled crypto queen) has vanished along with over $4 billion of the ICO funds therefore maybe they are taking pre-cautions.

Obviously there is probably more to this than meets the eye because the SEC holds all the power here but nevertheless things should not have unfolded like this.

[Bttzed03]

I totally disagree with this decision SEC always took action very late against big ICOs why not they awake on the right time and now again people will lost their money without getting any refund. This is really unprofessional behavior what happening in this case because SEC has fishy track record.

Before Telegram started their private sale, SEC had long hinted that they will go after crypto crowdfundings. That is why you see many ICOs before barring US citizens from participating in their token sale. Telegram knew that and the risk involve but they still took it. I'm not saying what the SEC is doing is good either, they probably targeted telegram because of that huge money coming from US investors.

Yes the SEC could have easily made a decision a very long time ago but for them to do it at the 11th hour to a project that raised $1.7 billion is beyond a monumental PR failure for both Telegram and the SEC.
~

It probably took them time to figure that out but who knows? It could also be their strategy to kill telegram for whatever reason.

[notblox1]

https://www.sec.gov/news/press-release/2019-212


What detrimental effect would this have on other firms using their existing tools/software which are widely used and are then used to offer tokens to their massive user base?

Do you think this is just nit-picking by the SEC or do you think these are real concerns and not just technicalities which resulted in them halting the token sale?

What do you think Telegram should do next?

They are getting more and more crazy with this amounts of money!
They saw new way to take money from people easy and it is not called TAX

I don't support Telegram and Gram coin in any way, but this is just getting silly

[target]

$1.7 B can't just be ignore so SEC has to step in.

I guess today there ain't much left for Telegram to do but wait for the SEC's decision. I don't know if can make arrangement to pay SEC, all it needs is just money to collect. Shove some cash to their mouths and Telegram can move on. They can refund all those who invested but distributes their token freely, I don't know if SEC can get money from them with this.

[JollyGood]

https://www.sec.gov/news/press-release/2019-212


What detrimental effect would this have on other firms using their existing tools/software which are widely used and are then used to offer tokens to their massive user base?

Do you think this is just nit-picking by the SEC or do you think these are real concerns and not just technicalities which resulted in them halting the token sale?

What do you think Telegram should do next?

Definitely nitpicking by the SEC and while I'm not one to push or agree with conspiracy theories, the timing - so close to TON's distribution by the end of the month - smacks of ulterior motives. It seems to also follow the ongoing Facebook/Libra saga in which we have an influential, social media company issuing crypto that's bound to have far-reaching networking effect. However, this is one case I feel they're bound to lose because Telegram has been very tight-lipped about development, token issuance, and even any marketing of any sort that could result in that "only speculation, no utility" argument these agencies love to use.

Worst case scenario, settlement agreement.

In my view worst case scenario is not a settlement, there is a possibility the SEC will never grant permission for Telegram and its TON to go ahead.

And about Libra, there is still a chance no matter how small that Libra will not get off the ground, partners have pulled out leaving Facebook standing alone with several smaller lesser known partners.

The SEC is obviously sending out a strong signal to Telegram and others but its end game or objective still has not been made known. Surely it goes well beyond disruption and in to something else. Either the SEC will make future ICOs or token shares very difficult (or near impossible) or they are just laying down new parameters of what is expected by prospective organisations to comply with legislation before embarking on these types of projects.

[~Money~]

$1.7 B can't just be ignore so SEC has to step in.

I guess today there ain't much left for Telegram to do but wait for the SEC's decision. I don't know if can make arrangement to pay SEC, all it needs is just money to collect. Shove some cash to their mouths and Telegram can move on. They can refund all those who invested but distributes their token freely, I don't know if SEC can get money from them with this.

im sure they wanna a bite, this situation will be resolved sooner or later,
this book wont be left open for much time, someone will close it

all the sales had been private, so sec is on to get a share or find the buyers to catch them and earn something from them =))

[jc12345]

The issue of digital token sales and the principle of securities is a well known thing. I think there is fault on both sides. First on the side of the token issuer - they should have obtain approval upfront before starting the token sale. On the side of SEC they should have acted earlier as the risk of funds being lost is higher now.

[rocku12345]

This precedent can clearly become a reference point for the future of crypto assets in the United States. So the commission is trying to finally settle all the legal subtleties of the process.
Especially surprising that right at such stage of TON chain development some authorities started discussions about whether Gram Coin is a cryptocurrency or a security paper ?

[Bowtiesarecool]

https://www.sec.gov/news/press-release/2019-212


What detrimental effect would this have on other firms using their existing tools/software which are widely used and are then used to offer tokens to their massive user base?

Do you think this is just nit-picking by the SEC or do you think these are real concerns and not just technicalities which resulted in them halting the token sale?

What do you think Telegram should do next?

Definitely nitpicking by the SEC and while I'm not one to push or agree with conspiracy theories, the timing - so close to TON's distribution by the end of the month - smacks of ulterior motives. It seems to also follow the ongoing Facebook/Libra saga in which we have an influential, social media company issuing crypto that's bound to have far-reaching networking effect. However, this is one case I feel they're bound to lose because Telegram has been very tight-lipped about development, token issuance, and even any marketing of any sort that could result in that "only speculation, no utility" argument these agencies love to use.

Worst case scenario, settlement agreement.

In my view worst case scenario is not a settlement, there is a possibility the SEC will never grant permission for Telegram and its TON to go ahead.

And about Libra, there is still a chance no matter how small that Libra will not get off the ground, partners have pulled out leaving Facebook standing alone with several smaller lesser known partners.

The SEC is obviously sending out a strong signal to Telegram and others but its end game or objective still has not been made known. Surely it goes well beyond disruption and in to something else. Either the SEC will make future ICOs or token shares very difficult (or near impossible) or they are just laying down new parameters of what is expected by prospective organisations to comply with legislation before embarking on these types of projects.

I think their end game and objective has just become much more plainer: https://www.coindesk.com/sec-cftc-fincen-warn-crypto-industry-to-follow-us-banking-laws
Good ol' US of A retaining it's global, financial dominance and the dollar still reigning supreme. Certainly interesting times ahead for the global financial system, especially with certain states (and even countries - France, Portugal) pro-crypto via Bitcoin

[dcomomal]

I hope it won't effect the project development, because it seems like SEC cutted a lot of money from Telegram devs. We will see what the reaction of Pavel Durov and his team members would be to keep other investors in game.

[TGD]

The regulators always do that kind of thing. They handle a case like "We will say if you get the permission to do business under the regulation Wing or not" yet they knew already that the answer is a big NO. They will wait until the project collect money and sue the project right after they collect money. Many startup companies still risking to this kind of funding without the green light from SEC and believing that they will get approval because they are bigger and many
people already invested to them. I don't believe that the team behind this kind of project didn't know what to do & how to walk in the right path.

TON sucks in short. Sorry for telegram team. You can't mess with regulation. You'll be stripped of credibility or fined.

[Slow death]

What do you think Telegram should do next?

I think they are more likely to do what is in this article:

Report: Telegram’s ‘Force Majeure’ Clause Curbs Investor Compensation

In the end, investors are the biggest losers and they get the big losses

[Vitamin_52]

I hope it won't effect the project development, because it seems like SEC cutted a lot of money from Telegram devs. We will see what the reaction of Pavel Durov and his team members would be to keep other investors in game.

one and a half billion rubles is not a small amount, I think they will lose investors, respectively, is also not enough. This amount simply blocked I as understand, but kogdato its can unlock and then will at all boom on the side telegram

[khirech]

Hi peers! GRM coin has started? Where can I buy it?

[khirech]

Do they accept fiat? Or only crypto to crypto payments?

[khirech]

And as for the speed of transactions, how fast does bitrexchange operate? I do not want to sacrifice time