Investors in messaging app Telegram have agreed to a plan that would delay the launch of their native token TON, in a move that puts an end to potential claims for a return of funds invested.
According to a Forbes Russia report, citing sources close to the matter, investors agreed to the proposals set out in a letter from Telegram last week.
In the letter, the firm said it wanted to defer the launch of its TON token from October 30 to April 30, 2020, to allow more time to deal with the issues affecting the company.
In an email to investors, Telegram said the delay would allow them more time to complete the “regulatory work” required ahead of launch.
We are happy to share with you that we have successfully obtained the consent of a significant majority of investors in both the Pre-Sale and Stage A to extend the deadline for the Network Launch to 30 April 2020. We would like to thank everyone for your support. This extension allows us to proceed with the necessary regulatory work described in our last email.
The deferral follows a U.S. Securities and Exchange Commission (SEC) investigation and subsequent legal action against the firm over the alleged “illegal” sale of Grams, which the regulator described as “digital-asset securities.”
Investors were required to accept the proposals by October 23 in order to avoid triggering an option which would have allowed investors to withdraw up to 77% of their equity in the company.
With the deal reportedly agreed by investors, the news means Telegram will no longer be exposed to the risk of an equity sell-off from investors disgruntled with the delay.
The news comes on the day Telegram was originally due in court to answer the SEC charges, with the date having now been postponed until February 2020.
Welcoming the delay as good news, Telegram told investors earlier this week that it would use the additional time to ensure its position was presented effectively at the hearing, saying, “We and our advisers will use the time to ensure that at the February hearing, the position of Telegram was presented and supported as much as possible.”
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