Pavel Durov Familiarizes US Regulators With Investments in the Future ICO of Telegram Open Network
RegulationBit News Today2 min read
Telegram messenger founder Pavel Durov met with representatives of U.S. securities regulators on Thursday to discuss his company's planned for the cryptocurrency known as "Grams." Durov is in the US to meet with investors and regulators. ## Telegram ICO Faces Delays, Lawsuits
The Telegram Open Network's initial coin offering (ICO) has been scheduled for over a year, but the company has yet to officially launch its token sale. In October, the Telegram ICO suffered a severe setback due to a court injunction against it. The US Securities and Exchange Commission obtained the injunction from federal judges, alleging the token sale was being conducted illegally.
Telegram has also faced several class-action lawsuits, with investors accusing the company of selling securities without proper registration. ## Telegram Open Network Remains in the Balance
In September, Telegram Open Network announced a major delay on the public token sale. The company claimed their developers hadn't yet solved privacy concerns with the network's blockchain. Telegram temporarily postponed the sale, offering a refund to investors.
Since then, the company hasn't issued an update on its plans for the Telegram Open Network or Grams token. Durov's meeting with US regulators, however, suggests the company is still pursuing the project. ## SEC Turns its Attention to Telegram
Telegram faced mounting legal challenges in the past year. Telegram's run-ins with US regulators could spell trouble for the blockchain industry, especially for ICOs that seek to operate internationally. Telegram's case in the US Securities and Exchange Commission could set a legal precedent for how other similar projects are treated in the future.
Despite setbacks, however, Telegram Open Network remains a highly anticipated initiative. If it succeeds, Telegram's blockchain could help to bring cryptocurrencies into mainstream use.
Telegram's messengers serve millions of users worldwide, many of whom would likely be excited to engage with its Blockchain as well. If Durov can sway Federal regulators, Telegram Open Network and Grams could accelerate the adoption of blockchain technology. ## What's Next for Telegram?
Durov's meeting with US regulators offers some hope that Telegram will be allowed to move forward with its blockchain plans. However, the company still faces an uphill legal battle, and the US Securities and Exchange Commission has been known to be harsh on projects like ICOs, even when they operate internationally.
