Telegram Raises $850 Million Through ICO
Telegram Raises $850 Million Through ICO- Telegram Group Inc has raised $850 million from 94 investors through its second round of Initial Coin Offering (ICO). Earlier in February, they had raised $850 million from 81 investors in their first round of funding.
According to the regulatory filing with US Securities & Exchange Commission, this British Virgin Islands registered firm has increased its proceeds to $1.7 billion.
The ICO sought investment to pursue the development of the Telegram encrypted messaging app and its own Blockchain platform Telegraph open network.
The company, founded by self exiled Russian Pavel Durov, aspires to come up with his own cryptocurrency ‘Gram’. According to Telegram documents, ‘Gram’ will have transactions faster than Bitcoin and Ethereum blockchains, and would compete with Visa and Mastercard.
According to the media houses, Russian billionaire Roman Abramovich invested around $300 million in the ICO. It should be noted that in Russia, Telegram is under threat of being blocked after it refused to provide encryption keys to the Federal Security Service to comply with the legislation on fighting terrorism.
This is very good news for the crypto industry because given that Bitcoin declined drastically in recent months, Telegram could overcome negative sentiments of the investors and raise the money. Also, ICO has given a big boost to the company, around 700,000 new users are signing up every day.
The company has surpassed the threshold of 200 million monthly active users. Due to this overwhelming response, there were reports of connection failures in Europe and Russia.