Telegram is known to be working on its upcoming cryptocurrency and blockchain project, Gram and TON. Unlike Facebook’s Libra project, Gram and TON did not receive a massive backlash from the regulators upon announcing the initial plan in the middle of 2019.
However, the Securities and Exchange Commission (SEC) then filed a lawsuit against Telegram in October concerning their $1.7 billion initial coin offering (ICO) in 2017.
Currently, the SEC has notably paying closer attention to the messenger app Telegram in regards of its projects. However, last week during a court battle, the SEC’s request for Telegram to hand over all bank statements concerning its TON blockchain project has been denied by the federal judge, giving Telegram a sweet winning over.
Unfortunately, the pressure has affected the firm and made company executives reconsider their TON strategy altogether.
Following a huge attack from regulator, Telegram decided it was best to abandon some of the most critical parts of its TON blockchain strategy. Additionally, in a recent blog post, the firm confirmed that Telegram will no longer integrate its Gram cryptocurrency wallet into the Telegram Messenger.
Besides, company officials announced that there are no absolute plans to maintain or develop future applications for the blockchain project, which turns to be a massive blow to the investors.
Although some analysts believe that the new tactics displayed by Telegram are part of a larger strategy, investors and people in the crypto community hope Telegram and the SEC will find a mutual understanding to allow the continuation of the development of this unique and game-changing blockchain.
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Nurul is an English Language graduate who is highly passionate on writing, she literally breathes on it. An avid reader and a critical thinker, she covers on blockchain news during day and weeps at sad novels at night.