Telegram seems like a pretty good place to have conversations you’d like kept secure and private, unlike, say, some other messaging apps. As such, it’s got a pretty good following among the cryptocurrent crowd, who are wary of things insecure and public.
This does not mean, however, that Telegram’s own cryptocurrency was a good idea. Certainly, the SEC didn’t think it was, and moved to nip “Grams” in the bud, winning a restraining order against Telegram that ensured it would not meet its Oct. 19, 2019, deadline for delivering the 2.9 billion “Grams” worth $1.7 billion. Which means now its had to return, uh, most of it….
The judgment orders defendants to disgorge, on a joint and several basis, $1,224,000,000 in ill-gotten gains from the sale of Grams, with credit for the amounts Telegram pays back to initial purchasers of Grams, and also orders Telegram Group Inc. to pay a civil penalty of $18,500,000.
“Since we saw limited value in pursuing the court case further, we welcomed the opportunity to resolve it without admitting or denying our liability,” Telegram said in a statement, adding that it has “already repaid more than $1.2 [billion] to the purchasers either directly or in the form of loans.”
That’ll definitely scare off future bright cryptocurrency idea-havers.