September 19, 2020

Kik app closes due to pressure from SEC

Kik app closes due to pressure from SEC

On Monday, Kik Interactive CEO Ted Livingston announced the closure of the messenger. Reason for this became a protracted dispute with the US Securities and Exchange Commission (SEC).

This is a direct influence of the SEC lawsuit, Livingston said in an interview with CoinDesk.

In addition to closing the application, the company intends to reduce its headquarters to 19 developers.

Kik is currently involved in litigation.litigation with the SEC, the subject of which is the 2017 ICO. During the ICO, the startup managed to sell tokens in the amount of $ 100 million, which, according to the SEC, are unregistered securities. Since the start of the SEC lawsuit against Kik in June, the price of the token has fallen from $ 0.000036 to $ 0.0000105.

Despite this, Livingston noted that the main development team continues to actively work on the KIN token. He continued:

KIN is the currency used by millions of people inDozens of independent applications. Thus, while the SEC may be able to influence us, the fight against the wider KIN ecosystem will be much more serious.