Telegram begins returning funds to TON investors who did not withdraw their money immediately

Telegram has started paying out funds to investors in the Telegram Open Network (TON) platform, who after the project’s failure did not withdraw the money immediately but decided to wait a year to receive 110% of their investment. The Bell reports, citing two investors.

Some investors have already received their funds, while another portion of TON participants has been notified of the start of distributions.

During two rounds of a private ICO in February and March 2018, TON attracted $1.7 billion from 175 investors in the United States and abroad. Among the project’s investors are entities linked to billionaire Roman Abramovich and Mikhail Abyzov.

The launch was initially due by October 31, 2019, but the U.S. Securities and Exchange Commission (SEC) obtained a court injunction temporarily barring the distribution of tokens. Pavel Durov then struck a first deal with investors, setting a new deadline.

In April, Pavel Durov informed TON investors that the launch would not proceed due to a clash with the SEC and a ban on distributing Gram tokens. He promised non-American investors a 110% return after a year on their initial investments, while those unwilling to accept that option would receive 72% immediately.

In March, Telegram raised $1 billion through the issue of five-year convertible bonds at 7% interest.

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