Telegram Finally Agrees To Handover Its Gram Token ICO Documents to the SEC

11. May 2020 Posted by Akolkar B on News

After months of fighting with the SEC, messaging giant Telegram has finally agreed to all the communication details as well as the ICO documentation for its Gram token ICO, to the United States Securities and Exchange Commission (SEC).

As requested by the securities regulator, the trove of communications concern all the purchase communications and agreements during the distribution of Gram tokens after the 2018 ICO.

The SEC has put a spanner in the wheel of Telegram’s plans to launch its Telegram Open Network (TON) blockchain and its native cryptocurrency. Last year in October 2019, the SEC halted Telegram from distributing its Gram tokens to investors saying that they violate the securities laws.

Since then Telegram and the SEC have locked horns over this matter. After six months of infighting, the New York District Judge P. Kevin Castel issued an injunction in March 2020 barring the messaging giant from launching its TON tokens.

Just last week, Telegram also decided that they would be delaying the launch of the TON blockchain by an year and decided to refund all U.S. investors. Well, this led to the TON community members deciding to launch a ‘forked’ version of the TON blockchain.

To prevent this, Telegram has finally given its consent to release all ICO documents to the SEC. In its latest letter to the court, Telegram has agreed that it will submit all information regarding the token distribution as well as the funds collected from the first buyers.

The official document states that Telegram will provide the SEC all “its communications regarding any agreements offered or entered into with the Initial Purchasers” of Gram token by the 20th of this month.

Besides, Telegram will also be providing all bank records to the regulator while responding to questions regarding the financial statements that it has submitted. The document also mention that Telegram will be providing information “regarding any assets disbursed to Initial Purchasers under the Purchase Agreements and assets received from Initial Purchasers in connection with the termination of the Purchase Agreements”.

Well, all eyes are now on the SEC response and how does it take the matter further. With all the legal battle in the court, the TON investors and supporters are now eagerly waiting ahead for a positive outcome.