U.S. court asks Telegram and SEC to focus on "economic reality" of Gram token sale

A federal judge in the United States said that the US Securities and Exchange Commission (SEC) should not be "labeled" when determining whether the instant messaging platform Telegram has issued illegal securities.

When the Southern District Court of New York opened its statement on Wednesday, federal judge P. Kevin Castel spoke for the first time in the case, urging both parties to consider the "economic realities" of the $ 1.7 billion token sale, while acknowledging that the disclaimer cannot affect the court's View of assets. Telegram's lawyer assured the judge that the 36 validators on the Telegram testnet's blockchain showed that the "decentralized community" was sufficiently interested in the blockchain. In contrast, the SEC focused on Telegram's alleged illegal behavior, stating that the company's way of selling products to qualified investors did not meet Reg D standards.