Court Says Gram Tokens Can't be Distributed Outside US Too

P Kevin Castel, a US District Judge on April 1st, responded to the companies queries that whether the token can be distributed as such in a foreign land. The judge came down hard on Telegram's gram token distribution and categorically denied the scope of it.

Approximately, a huge chunk of investment was done into grams token by foreign investors, and so it was pretty conspicuous why the company wanted some slack to be cut their way in this case.

The court backed Security and exchanges commission (SEC) in this case. The court clearly stated that Telegram made no response to the proposed injunction that says that they are not allowed to sell the gram token to any person or entity, something which the firm knows since 2019.

Telegram's vague argument that they can come up with some safeguards to stop US-based citizen from accessing its gram token didn't leave the judge impressed.

The judge stated that the ey would not be able to deliver what they promise as they didn't show anyway how they will safeguard it. He went on to add:

"The TON Blockchain was designed and is intended to grant anonymity to those who purchase or sell Grams," asserting that "any restriction as to whom a foreign Initial Purchaser could resell Grams would be of doubtful real-world enforceability."

What's Next For Gram Tokens

However, the TON community is not backing off from launching its gram token; despite's the court's decision. A representative stated that they were equipped for a situation like this and they are prepared to tackle it. He further added that given that it's a decentralized open-source solution, no individual or entity, possess the prerogative to halts its launch.

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