Telegram’s failed blockchain project, TON, could cost the company another $100 million in compensation, according to Da Vinci Capital.
Telegram has recently received a $100 million compensation offer from a major investor in the company’s failed Open Network (TON). Otherwise, Da Vinci Capital, the investor, has threatened to take legal action against the messaging site.
A $100 million demand has been made by a TON investor.
Telegram’s TON project was one of the most talked-about blockchain-related projects in recent years. The plan, however, was met with almost immediate resistance from the US Securities and Exchange Commission (SEC), after a US court ruled that the native currency – GRAMS – is a security token that cannot be sold in the US or elsewhere.
Telegram has made numerous attempts to reverse the court’s decision and show that GRAMS is not a defense. However, the company’s CEO, Pavel Durov, was forced to throw in the towel and announce that “Telegram’s active involvement with TON is over.”
According to a recent Forbes Russia article, despite the company’s distance from the failed blockchain project, problems continue to plague it. According to the article, Da Vinci Capital, an investor in the $1.7 billion initial coin offering, has demanded compensation for TON’s failure, according to unnamed sources familiar with the situation.
Lawyers from the Moscow-based investment firm are said to have given Durov, Telegram Vice President Ilya Perekopsky, and other executives and lawyers associated with the project a letter of intent to file a lawsuit.
According to the paper, Da Vinci Capital requested $100 million in compensation.
You have two weeks to respond
According to Forbes, Durov and his colleagues have two weeks to move the funds or inform the investment company’s lawyers if they plan to refuse it.
Da Vinci Capital, on the other hand, has the right to take the matter to court if Telegram does not respond within the stated timeframe.
Apart from these claims, Telegram recently signed a funding round with accredited investors from Russia, Europe, the Middle East, and Asia to raise at least $1 billion in a private bond placement. If Telegram intends to go public in the next five years, those bondholders will be able to turn their debt into shares at a 10% discount to the offering price, according to the terms of the round.