Thursday, February 20

Telegram CEO’s 18-Hour Deposition Transcript Is Revealed On-line


Telegram CEO Pavel Durov gave a deposition relating to the corporate’s alleged violation of United States securities regulation by conducting $1.7 billion Gram token sale in 2018.

According to a related court order, the deposition was held on Jan. 7 and Jan. eight earlier than a courtroom reporter designated by the courtroom reporting service engaged by plaintiff represented by the US Securities and Change Fee (SEC).

SEC makes use of the 18-hour deposition to proceed grill Telegram on the way it spent $1.7 billion

Based on the official transcript doc, the deposition was held in Dubai and concerned Telegram lawyer Alexander Drylewski and SEC official Jorge Tenreiro. The primary a part of the deposition on Jan. 7 began at 11:21 AM to finish at 10:00 PM, whereas the second on Jan. eight was a bit shorter, starting at 10:23 AM and ending at 06:09 PM, native time.

The deposition was videotaped, whereas the accessible official transcript report is fragmented, with vital elements of the deposition having been omitted supposedly for the sake of confidentiality.

Throughout the deposition, which mixed took round 18 hours with breaks, the SEC questioned Telegram extensively on the corporate’s bills and funding used to arrange the agency. Responding to at least one such query, Durov answered that the corporate plans to proceed to spend funds in a manner just like budgets from earlier years:

“My expectation is that we are going to proceed to spend funds in a way just like which came about final yr or this yr — or, yeah, final yr and the start of this yr. So we do not anticipate large modifications up till the launch of TON once we count on that sure bills may go down resulting from the truth that we’ll now not be spending assets on growing and testing TON.”

Telegram will distribute some Grams amongst its devs

Tenreiro additional requested the defendants on what share of Grams out of the 5 billion tokens in circulation will probably be held by Telegram’s workers upon the launch. In response, Durov reconfirmed that Telegram is not going to maintain any Grams after the launch of the Telegram Open Community (TON). Telegram CEO added that the agency plans to distribute 4% of Grams amongst its builders, noting that they’re nonetheless “evaluating” actual figures:

“I can reconfirm that Telegram is not going to maintain any Grams submit launch. We talked about within the providing supplies that we plan to distribute Four % of Grams, which ought to be round 200 million Grams, I consider, among the many growth staff, and we’re nonetheless evaluating, beneath the circumstances, whether or not we’d proceed with that preliminary plan of distributing all or a few of these 200 million Grams among the many builders that labored on TON.”

The SEC additionally didn’t miss the possibility to ask Telegram about incentives for its builders, relating to which Durov talked about Telegram’s good contracts contest announced in September 2019. The manager added that the prize finances is “remains to be there” and the agency continues accepting and rewarding people throughout the program.

Durov funded Telegram between 2012 and 2018 by means of cash from the sale of VKontakte

Based on a deposition transcript acquired by Russian publication The Bell, Durov financed Telegram from his private expenditure coming from the sale of VKontakte (VK) in 2014. Durov, who founded the Fb-like Russian social media web site again in 2006, claimed that he used his funds from VK from 2013 up till 2018.

Moreover, Durov stated that Telegram’s workers depend has not modified a lot since 2017, accounting for 25 workers who “write programming code.” The agency has additionally concerned “a whole lot of impartial contractors” although, Durov added.

As not too long ago reported by Cointelegraph, Telegram must present its redacted financial institution information to the courtroom till Feb. 26. Whereas the authorized battle between the SEC and Telegram has been hitting up, some software program makers have continued to work on block explorers designed for the TON blockchain.

Forex Notice

Leave a Reply

Notify of