The SEC issued a temporary restraining order to prevent Telegram from issuing Gram tokens

According to official sources from the US Securities and Exchange Commission (SEC), the agency "takes urgent action and obtains a temporary restraining order" against two entities behind the first currency issue (ICO) of the news company Telegram's TON network, which identified Gram It is an unregistered security and cannot be sold to US investors.

The SEC said it did so to prevent Telegram from flooding the US market with illegally sold digital tokens, which mentioned Telegram Group Inc. and TON Issuer.

Stephanie Avakian, executive director of the SEC, said that in the eyes of the SEC, these companies "have failed to provide investors with information on the business operations, financial conditions, risk factors and management of the Gram tokens and Telegram companies required by the securities laws."

Telegram is a popular messaging application that has become one of the favorite applications for the encryption community. The company has raised approximately $1.7 billion in funding for its blockchain network and its native cryptocurrency, Gram, over the past few years.

CoinDesk recently reported that the company's wallet application first mentioned the TON and blockchain Gram tokens in the Terms of Service (ToS). ToS said, "Telegram will integrate the wallet into the company's flagship messaging application and provide it as a standalone product."

Coinbase, the main cryptocurrency exchange, posted an article on Thursday that its Coinbase Custody, which provides digital asset custody solutions for institutional investors, will support Telegram's upcoming Gram token. Two days ago, Anchor Labs' digital asset escrow subsidiaries Anchorage Trust Company and Anchorage Hold also announced that they will provide institutional hosting services for Gram.

The Telegram network officially announced on October 2nd that it plans to start in late October. Telegram has asked investors to provide a public key generated by proprietary software to receive their GRM tokens by October 16.

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By Xiu MU

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