17.01.2021

Kik Shutting Down Popular Messages App Due to ICO Judicial Battle

The Canadian social media and messaging practical application company Kik is pondering shutting down its widespread Kik messaging app.


Disclaimer : The item report previously stated which in turn Kik was only entertaining the idea of shutting down its app and has been updated following novel information from Kik.

70 reported layoffs at Kin subsidiary 

In a Sept. 5 article , Israeli tech publication CTech Calcalistit cites two unknown sources at Kik, alleging that the Canada-based firm is usually considering closing down their own messaging app.

A subsequent blog post by Kik CEO Wyatt Livingston confirmed the log, stating that the firm can shut down the Kik practical application, reduce its staff to assist you 19 people and attention on its Kin ( KIN ) token’s development.

80 employees have reportedly bought layoff notices and have been allowed the option to transfer for an new company that are operating in the same sector.

Legal troubles

In today’s blog post, Livingston said that Kik’s decisions into downsize and shut down its actual messenger were the result of some of the firm’s need to manage methods in a legal battle with all The states Securities moreover Exchange Commission (SEC).

Kik has been opposing its initial coin offering’s designation in court from that moment the SEC sued the several Canadian startup for an theoretically unregistered $100 million symbol offering.

Steven Peikin, Co-director of the SEC’s Division of Enforcement, said on the occasion that by conducting the company’s Kin tokens sale, Kik “deprived investors of information where they were legally entitled and thus prevented investors from causing informed investment decisions. ”

Kik speaks SEC does not have strong evidence

Kik’s law firms quantified, definite, spelled out, detailed that the SECOND took quotes out of content, twisted facts in order to backup their allegations, and misrepresented the facts because they have no sturdy evidence to support their scenarios.

In the in the mean time, Kik launched the best $5 million crypto gumption to fund its lawsuit up against the SEC, which was taken over simply because of the Blockchain Association, a communautaire of advocates involved with this particular blockchain industry.

Kik believes that the Blockchain Association “will be in good position to objectively situate the resources to the highest cible initiatives. ”

Source

Spread the love
  •  
  •  
  •  
  •  
  •  
  •  
  •  
  •  
  •  
  •  
  •  

Leave a Reply

Your email address will not be published. Required fields are marked *