Telegram’s TON Was Built on Sand. Its Failure Isn’t All Bad For Crypto
Telegram's Pavel Durov rails against the SEC's "ossification." But his TON project was always on shaky ground legally-speaking, says Preston Byrne.
Telegram has settled its six-month court case with the SEC, agreeing to pay $18.5 million in penalties and to notify the agency if it plans to issue another digital asset in the next three years.
Telegram CEO Pavel Durov reportedly donated about $90,000 worth of bitcoin to help alleviate the financial burden of COVID-19 pandemic in Russia.
Kik's proverbial day in court may take a lot longer than Telegram's, if the judge’s response to the SEC during a hearing this week is any indication.
Telegram has thrown in the towel in its court battle against the U.S. Securities and Exchange Commission and will no longer be appealing the ban on its blockchain token project.
Some backers of the now-shelved TON blockchain project are in talks to sue Telegram over their refund structure.