Kik Interactive is closing down its messaging application mainstream for giving you a chance to talk with outsiders who have comparative interests. The application’s shutdown is straightforwardly associated with the claim the US Securities and Exchange Commission (SEC) recorded against the organization in June over its 2017 digital token deal. SEC sees that sake, which raised $100 million, as an unlawful, unregistered protections offering. Further, the organization said Kik should’ve told potential speculators that its funds were in a difficult situation.
In a post reporting the move, organization boss Ted Livingston uncovered that Kik worked with the SEC to determine the issue for a year and a half. Sadly, the organization disclosed to Kik that it’ll indict the organization except if it names its digital money, Kin, security. “Becoming security would kill the usability of any cryptocurrency and set a dangerous precedent for the industry,” Livingston said. “So with the SEC working to characterize almost all cryptocurrencies as securities we made the decision to step forward and fight.”
Livingston likewise said that Kik “underestimated the tactics [SEC] would employ,” including “draw[ing] out a long and expensive process to drain [its] resources.” By scaling down, Kik will have the cash to have the option to confront the claim. Shockingly, the organization will likewise decrease its workforce to 19 individuals, influencing more than 100 representatives simultaneously, as indicated by TechCrunch.
Going ahead, Kik will concentrate on its digital currency and will try to turn “Kin users into Kin buyers.” The rest of the workers will set up the Kin blockchain to have the option to help a billion clients making a dozen exchanges for each day. They’ll additionally fabricate a mobile wallet that will make it simple to purchase the cryptographic money.