SEC Lawsuit Stops Kik Messaging App

Kik, the Canadian company behind the messaging app Kik Messenger as well as the cryptocurrency Kin, will stop its users from using the messaging app. This is according to a blog post from CEO Ted Livingston published on 24 September.

Kik is involved in a lawsuit with the Securities and Exchange Commission (SEC) concerning an initial coin offering (ICO) from 2017 with which Kik raised $100 million for the cryptocurrency Kin.

Livingston reports in the blog post that he and his company had the choice to label Kin as a security, which would set a dangerous precedent, or challenge the indictment of the SEC in court.

Those are the two options it came down to, so when we looked at it, we said: “We are confident that we are right. We have to fight. “

According to Livingston at the Elevate conference in Toronto, Canadian Global News reports on 25 September. In the battle for the preservation of the Kin cryptocurrency, Kik has therefore decided to stop using the messaging app. Reportedly, the app had more than 300 million users.

Also, Kik will fire more than 100 employees to bring the team back to 19 “elite” members. That should bring costs down so far that Kik can survive the lawsuit with the SEC.

We must continue. Until the time comes, we no longer have a dollar, no person is left. We will continue, no matter how difficult it is.

Livingston also reports at the conference that he believes that cryptocurrencies are the best and only means of combating the growing economic problems caused by monopolies and an increasing concentration of wealth.

Cryptocurrencies are the only way, the only means we have now that can counteract that, where we can build a new economy with a new form of money where we can rewrite the rules about how wealth and value are created in a global society.

Earlier this week there were rumours that Livingston was leaving the company and that he had brought this out through a drunken tweet. None of this turned out to be true and many cryptocurrency news sites that had reported this story have since deleted their articles.

Ripple, the company behind XRP (XRP), is currently also involved in a lawsuit about whether XRP is a security or not. The company had recently submitted a motion for rejection to the court. CEO Brad 

 

Read More: Deloitte Luxembourg Staffs to Buy Lunch With Bitcoin

 

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