Valley it seems that the United States Stock Exchange (SEC) you don't want to allow more cryptocurrencies to enter since we previously made known the situation that is happening with Libra (Facebook's cryptocurrency) because due to the reviews that the United States Stock Exchange is carrying out, several of its members have decided to abandon the project.
And now, recently the United States Stock Exchange announced the introduction of prohibitive measures against the unregistered placement of digital tokens associated with the cryptocurrency gram, built on the TON blockchain (Telegram Open Network) platform.
On the same day, it became known about the abandonment of Visa, Mastercard, Stripe, Mercado Pago and eBay (PayPal also abandoned the project a week ago) of the main participants of the Libra project , in which Facebook is trying to develop its own cryptocurrency.
Visa representatives commented on the exit saying that the company has now decided to refrain from participating in the Libra Association, but will continue to monitor the situation and the final decision will depend on several factors, including the ability of the Libra Association to achieve full compliance with the regulatory requirements.
During its inception Gram attracted more than $ 1.7 billion in investments and it was supposed to start no later than October 31, after which the tokens associated with the cryptocurrency would go on sale.
Prohibition adopted is presented as an attempt to prevent the US market from filling up with digital tokens, which, in the opinion of the US Securities Commission, were illegally sold.
A characteristic of Gram is that all units of Gram's cryptocurrencies are issued at once and distributed between investors and the stabilization fund and are not formed during mining.
The SEC states that, under said organization, Gram is subject to existing securities laws. In particular, Gram's issue required mandatory registration with regulatory authorities relevant, but no such record was made.
Telegram promised to deliver the Grams to initial buyers at the launch of its blockchain before October 31, 2019 ... the lawsuit alleges that the defendants did not register their offers and sales of Grams,
It is alleged that the Commission has already warned that it is impossible to avoid the implementation of federal securities laws simply by calling the product's cryptocurrency or a digital token. In the case of Telegram, it seeks to profit from the public offering without observing long-established disclosure rules intended to protect investors.
In particular, contrary to the requirements of the securities legislation, the investors did not provide information on commercial transactions, financial situation, risk factors and management organization.
"Our emergency action today is aimed at preventing Telegram from flooding the US markets with digital tokens that we claim were illegally sold," said Stephanie Avakian, Co-Director of the SEC's Compliance Division. "We allege that the defendants have failed to provide investors with information about Grams and Telegram's business operations, financial condition, risk factors, and management as required by securities laws."
"We have repeatedly stated that issuers cannot get around federal securities laws simply by labeling their product as a cryptocurrency or digital token," Steven Peikin, Co-Director of the SEC's Compliance Division. "Telegram seeks to reap the benefits of a public offering without complying with long-established disclosure responsibilities designed to protect the investing public."
Currently, the U.S. Securities Commission has already obtained a temporary injunction against the activities of two offshore companies (Telegram Group Inc. and a division of TON Issuer Inc.). The Federal District Court of Manhattan also filed a lawsuit alleging violation of sections 5 (a) and 5 (c) of the Securities Act, through which the Commission is seeking to obtain a permanent injunction, termination of transactions and a fine.
Source: https://www.sec.gov/