Huobi Prime to Update IEO Rules

Team believes that new rules will increase the number of successful transactions in the rush that accompanied the tokensale
03 April 2019   1437

The Huobi Cryptocurrency Exchange, based on user feedback, changed the rules for conducting initial exchange offerings (IEO) Prime platform.

Now users who have had a minimum of 500 HT within the previous 30 days, or a larger amount of funds during a shorter period, can take part in the campaign.

There will be a personal cap on every participant, and the cap is proportional to average daily HT holdings over 30 days period before launch date, please see the following reference table for more info. (Actual cap in HT will be announced on the launch date)
 

Huobi Team

Huobi Token Daily Holding to USDT Personal Cap Rate
Huobi Token Daily Holding to USDT Personal Cap Rate

They believe that new rules for Huobi Prime will increase the number of successful transactions in the rush that accompanied the tokensale.

The next IEO is scheduled for April 16th.

The first IEO at the Huobi Prime site from the TOR Network project took place on March 26. All three rounds were completed in a few seconds, which caused widespread dissatisfaction among users who failed to take part in the campaign. 

Court to Ban TON Tokens Release

U.S. District Judge P. Kevin Castel, of the Southern District of New York issued a temporary restiction, therefore supporing the SEC
25 March 2020   932

The American court issued an order to the developer of the Telegram messenger, according to which he should refrain from the distribution of tokens of the TON blockchain project planned for next month.

According to CoinDesk, on March 24, the District Judge of the Southern District of New York, Kevin Castel, issued a temporary injunction, recognizing the SEC's arguments regarding the sale of unregistered securities by the company as reasonable.

The Court finds that the SEC has shown a substantial likelihood of success in proving that the contracts and understandings at issue, including the sale of 2.9 billion Grams to 175 purchasers in exchange for $1.7 billion, are part of a larger scheme to distribute those Grams into a secondary public market, which would be supported by Telegram’s ongoing efforts.

 

Kevin Castel

U.S. District Judge

According to the judge, this feature does not allow considering the Telegram offer as subject to exceptional conditions. He also noted that Telegram structured its project in such a way as to attract “the maximum number of primary buyers” against the background of the expectation of maximum profit at the time of launch.

Considering the economic realities under the Howey test, the Court finds that, in the context of that scheme, the resale of Grams into the secondary public market would be an integral part of the sale of securities without a required registration statement. 

 

Kevin Castel

U.S. District Judge

Conducting an analysis from the standpoint of the Howey test, the judge stated that buyers expected to profit from participating in the campaign. Moreover, although Telegram may argue that it will not become a guiding force in the further development of TON, “in fact,” it will be precisely this.

The judge agreed to distinguish between non-existent Gram tokens and securities purchased by TON investors, but refused to support Telegram's argument that Gram would be a commodity.

The Court rejects Telegram’s characterization of the purported security in this case. While helpful as a shorthand reference, the security in this case is not simply the Gram, which is little more than [an] alphanumeric cryptographic sequence.

 

Kevin Castel

U.S. District Judge

This is not the final decision, but it can serve as a powerful indicator of what position the court will adhere to further.