WSJ: Telegram Cancels Plans To Launch Public ICO Due To Abundance Of Cash Currently Elevated

The Wall Street Journal (WSJ) noted these days, May 2, that Telegram’s strategy to start an Original Coin Offering (ICO) has been scrapped. The reality that the messaging app raised more than enough money presently as a result of their two non-public ICO rounds was cited as the purpose for the choice.

An unnamed supply informed the WSJ that Telegram has determined not to maintain the prepared ICO for the public right after bringing in a total of $1.7 bln by mid-March, with 81 accredited traders using aspect in the 1st ICO spherical and 84 in the next.

The money raised from the two ICO rounds already held – which had been open up to only those people with a internet worth of $1 mln or an earnings of $200,000 – will be employed to aid the improvement of the Telegram messenger application, as perfectly as the launch of the blockchain platform Telegram Open Community.

Cointelegraph documented previously that 1 of the first spherical members was Russian billionaire Roman Abramovich, who reportedly invested $300 mln. Abramovich’s spokesperson denied the $300 mln cost tag but declined to comment on whether Abramovich took part at all. The founders of payment assistance provider Qiwi and Wimm-Monthly bill-Dann food items, Sergei Solonin and David Yakobashvili respectively, have publicly announced their participation in the Telegram ICO.

The messaging app has built the news in other means than crypto not too long ago, as it was lately banned in Russia due to founder Pavel Durov’s refusal to hand around the encryption keys to the Russian government. Russian media documented at the close of April that the ban was definitely owing to Telegram’s association with cryptocurrency through its ICO, but a spokesperson for Telegram’s authorized illustration denied this was the scenario.

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