Telegram Motion to Strike from SEC on Hold
According to the letter dated November 25, the Securities and Exchange Commission (SEC) went to strike Telegram and its proposed defense being insufficient under federal law. After a day, Judge P. Kevin Castel commanded the motion to put on preservation for at least 14 days. And this will last until after the discovery period of the proceedings has ended.
Last October, the SEC claimed that the token sale of Telegram, which was at $1.7 billion Gram (GRAM), was illegal under U.S. securities laws. Then, on November 12, Telegram filed a claim with the U.S. District Court of the Southern District of New York. The encrypted messaging company is asking the court to drop the case of SEC against them.
Moreover, the SEC struck the void for vagueness defense from the proceedings of Telegram. Moreover, it also wants to show that the defense of Telegram is not enough. And this is as the Howey decision and subsequent case law have adequately elucidated what constitutes an investment contract.
Internet attorney Andrew Rossow stated, “In its letter to the court, the SEC has asked Judged Castel to preserve its motion to Strike, so as to document on the record the SEC’s continuous assertion that the Defendant’s particular claim is not a claim. Therefore, it doesn’t belong in the pleadings.”
As per Judge Castel’s preservation order, Rossow stated that the SEC does not need to write further about Telegram’s claim not being sufficient in the proceedings.
The Next Price Mark of Bitcoin
Based on Cointelegraph contributor Horus Hughes, Bitcoin (BTC) could hit $7,800 and even up to $8,100 price mark. Hughes even indicated that Bitcoin had to close over the former support turned resistance at $7,400 for BTC to go to its prices near the $7,800 resistance.
In addition to that, he explained that it might be unlikely for Bitcoin price to fall to $5,000 area again. However, it is always better to consider bullish and bearish scenarios.