The SEC (Securities and Exchange Commission) fine to Telegram with $ 18.5 million for launching an ICO (Initial Coin Offering) that did not comply with regulations.
Telegram had raised most of the capital, around $ 1.7 billion, through private sales, so it was not a real ICO open to the public, but regardless of this, the SEC forced Telegram to abandon the project, as well as everything that had been developed until now, that is, GRAM and TON.
At this point, with everything closed and locked, considering that the tokens cannot be used in any way, Telegram had no choice but to return to investors what they had invested.
In addition to this loss, Telegram will have one month to pay the fine imposed by the SEC.
The fine was also confirmed on official Telegram channels and Pavel Durov, CEO of the messaging app, explained:
"Unfortunately, we were unable to launch the TON platform on our due date due to the preliminary court order ordered by the Court, and therefore we had to return the remaining funds to the buyers under our contractual agreements. Since we saw limited value in moving forward with the court case, we appreciate the opportunity to resolve it without admitting or denying our responsibility. Today's proposed settlement reconfirms our commitment to refund remaining funds to buyers under the Purchase Agreements. We have already paid more than $ 1.2 billion to buyers, either directly or in the form of loans. ”
Unfortunately, once again it is the case that a project is forced to close due to regulations. Other situations were resolved only with a fine, as in the EOS case what did you have to pay $ 24 million, or as in the Ripple case, who is still on trial to determine whether or not it is a guarantee.
Considering all the negative elements related to these events, it is understandable how the launch of an ICO is becoming increasingly risky and perhaps that is also why your time is up and there are now new ways to raise capital.