The Securities and Exchange Commission is once again requesting that Telegram provide bank records on its Gram initial coin offering (ICO). The timing of the request, filed on Jan. 10, coincides with new evidence of alleged underwriters requesting commission fees for the sale of Telegram tokens. The reappearance of an earlier request The request for banking data comes four days after a similar filing was declined “without prejudice” — meaning that the SEC was free to try again. Telegram challenged the request arguing that doing so would be a violation of foreign data privacy statutes. The commission sought to refute …

Kik Interactive Inc. requested the formal definition of a trial date for its lawsuit with the United States Securities and Exchange Commission (SEC), as revealed by a Jan. 9 court document. The company was charged by the SEC in June 2019 for conducting an unregistered security issuance with its $100 million initial coin offering (ICO). Kik Interactive is the Canadian developer of the Kik messenger app. It launched a successful ICO in 2017, releasing the Kin token. Though it was presented as a utility token for accessing some features of the Kik messenger, the SEC placed the company under scrutiny …

The United States Securities Exchange Commission (SEC) is seeking a default judgement against token sale platform ICOBox and its founder Nikolay Evdokimov. Documents filed with the Central District Court of California on Jan. 9 order the defendants to pay over $16 million in disgorgement to the agency within 14 days of the judgement’s entry. In a complaint filed on Sept. 18, 2019, the SEC had sued ICOBox and Evdokimov for operating an unregistered securities offering of roughly $14.6 million worth of digital assets in 2017, and operating as an unregistered securities broker. According to yesterday’s proposed judgment, the SEC’s disgorgement …

Telegram’s Gram, the native cryptocurrency for the Telegram Open Network (TON), is not an investment product, the firm stressed in a fresh public statement. In a Jan. 6 blog post, Telegram emphasized that Grams should not be associated with expectations for profits based on purchase or holding of the token. Such an expectation usually defines a security. In the United States, the Securities Exchange Commission (SEC) governs the sale of securities, and their recent actions against Telegram’s offering of its Gram token assume that Grams fall within the commission’s purview. Grams are instead designed to serve as a “medium of …

Lawyers representing encrypted messaging app Telegram have requested a United States court throw out regulator demands for its bank accounts. In a letter to Judge P. Kevin Castel at the Daniel Patrick Moynihan United States Courthouse in New York on Jan. 3, Skadden, Arps, Slate, Meagher & Flom LLP described the request from the Securities and Exchange Commission (SEC) as an “unfounded fishing expedition.” Bank accounts have “no bearing” on case The SEC had demanded Telegram hand over details of how it spent the proceeds of its initial coin offering (ICO), which raised $1.7 billion. A letter to Judge Castel …

The United States Securities and Exchange Commission (SEC) has filed a court order on Jan. 2 to compel the messaging platform Telegram into releasing details of how the funds raised in its initial coin offering, or ICO, have been spent. The SEC claims that the requested records are highly relevant to its ongoing case against Telegram, alleging that the $1.7 billion raised selling Gram tokens constituted an unregistered securities sale. Request for information The filing requests both testimony and documentation from Telegram relating to the amounts, sources and use of the funds raised from investors. Notably: “Defendants are now refusing …

Blockchain has become a buzzword in the startup ecosystem and multinationals alike. Numerous benefits provided by the technology has incentivized businesses and governments to adopt, explore or invest in it. However, a surprising turn of events took place in 2019 when it comes to the amount invested into blockchain technology and companies behind them. After the incoming funds peaked in 2018 with $5.5 billion in capital raised, this year saw a sharp decline — with less than $3 billion of capital flowing into the ecosystem. There are numerous reasons to explain this, however. The bullish hysteria around Bitcoin was over …

As one of five commissioners of the United States Securities Exchange Commission, Hester Peirce is at the forefront of securities regulation in the country today. Of interest to Cointelegraph’s readers, her positivity toward the future of cryptocurrencies has earned her the moniker “Crypto Mom.” Backdropped by recent efforts to update exemptions from security offering registration, as well as an ongoing tug-of-war with legislators as to how to handle crypto, Commissioner Peirce sat down with Cointelegraph to discuss recent changes in regulatory approach and what to look for in the next. New exemptions On Dec. 18, the SEC announced a series …

The hype around initial coin offerings may have quieted down in the States, but France seems to be taking a newfound interest. On Dec. 17th, France’s financial regulator, the Autorité des Marchés Financiers (AMF), granted the country’s first approval for an ICO application. The offering came from French-ICO, a company that has developed a platform for funding projects using cryptocurrency. The firm is the first to be white-listed and a notice has been posted on the AMF website. Reuters reported in July that the AMF was in talks with three or four candidates for ICOs and that more could soon …

The United States Securities Exchange Commission (SEC) has announced that it is looking for ways to expand the classification of “accredited investor,” with potentially major implications for capital formation of firms hesitant to meet full public reporting requirements. The amendments and who gets to be accredited Per a Dec. 18 announcement on the SEC’s website, the regulator is looking for public commentary on amendments to its category of accredited investor. Currently, the SEC’s language defines an accredited investor as an individual with a net worth of over $1 million or an entity controlling over $5 million in assets. Other means …

The United States Securities and Exchange Commission (SEC) has reached a settlement with New York-based startup Blockchain of Things Inc. (BCOT) for conducting an unregistered initial coin offering (ICO). On Dec. 18, the SEC announced in a press release that the charges were settled in the form of an order that requires BCOT to cease and desist from committing any violation of the registration provisions of the federal securities laws. The blockchain company also agreed to pay a $250,000 penalty, without admitting or denying the findings. According to the SEC’s order, BCOT raised nearly $13 million while conducting an unregistered …

Coming every Sunday, Hodler’s Digest will help you track every single important news story that happened this week. The best (and worst) quotes, adoption and regulation highlights, leading coins, predictions and much more — a week on Cointelegraph in one link. Top Stories This Week VeChain loses $6.6 million in VET tokens to hacker in attack on buyback wallet An unknown hacker has redirected a whopping 1.1 billion VET tokens from the VeChain Foundation’s buyback wallet to a personal address. The crypto was worth an estimated $6.6 million at the time, with the company stressing that the security integrity of …