Telegram intends to challenge the decision of the Federal court of new York, which decided to temporarily block the distribution of Gram tokens. However, experts are not confident in the successful outcome of the case.
Telegram’s lawyers filed an appeal to the us court of Appeals for the second circuit to overturn the decision of judge Kevin Castel, who supported the position of the us securities and exchange Commission (SEC). Castel considered that, according to the Howie test, reselling Gram tokens on the secondary market would imply an unregistered sale of securities, which would violate the provisions of securities laws. The judge granted the SEC’s request for an injunction against these tokens.
Despite the fact that Telegram intends to continue fighting the Commission and further defend its position, some experts believe that the company’s chances are small. For example, Seward & Kissel lawyer and former SEC employee Philip Moustakis said that Telegram’s lawyers will have to do a tremendous job-to prove that the district court made an error in interpreting the law or the facts presented.
Given that at the beginning of the year, telegram’s lawyers unsuccessfully asked the court to reject the SEC’s request for information about the use of funds raised by the TON project as part of the ICO, it will not be easy to reject the court’s decision. Not even the TON Community Foundation, a nonprofit organization created to protect Telegram in the SEC proceedings, can help. However, the telegram management decided not to miss the opportunity to file an appeal in order to eventually continue the implementation of its project and launch the TON platform.