Crypto Frontline

Could Telegram Cancel Its Public ICO?

Could Telegram Cancel Its Public ICO?

Could Telegram Cancel Its Public ICO?
April 13
07:05 2018

Thus far, Telegram is the most successful Initial Coin Offering in terms of capital raised. According to the latest numbers, the company managed to raise $1.7 billion from two private sales. Given that it managed to raise more than anticipated capital, now it puts under question mark the public ICO, where ordinary people might be able to invest in the company. Telegram looks like it wants to delay the pubic ICO and as you will see in the following sentences it has some serious reasons to do so.

What could happen to the public ICO?

At the present time, it is hard to anticipate. According to CoinDesk, there are several reasons why Telegram is delaying the public Initial Coin Offering.

Firstly, it had reached its goal of raising capital so there no reason to rush. The Telegram Blockchain, called Telegram Open Network or TON, hasn’t been built yet. That takes us to the second reason why Telegram does not want to go forward with the public ICO.

Such operation will mean a huge number of people will get involved and they will most likely expect returns (probably returns very rapidly). Private investors are fully aware that delays in the process might intervene and are willing to wait until the company will be on its track.

It is hard to deal with the public, as you will need a special department for that. Telegram is still a small company and it wants to focus mostly on the development of the system, which at the present time does not exist.

Also, it is rumored that Telegram aims to raise more money, pushing the total amount to $2.5 billion, through another private sale which might take place until the end of 2018.

Telegram is a company with high goals and wants to get involved in many operations. To mention just a few: faster payments, file-sharing, decentralized privacy, domain registration and many others.

There’ still much work to be done and now that the company managed to raise a big pot of money through its private ICO, the time has come for some actual results.