Since there is no denial in the fact that the crypto market is filled with unexpected as well as unpredictable ups and downs, hence here is another incident that took place recently.
Kik, the messaging startup behind the Kin cryptocurrency seems to be in some serious trouble as of now. As far as the present scenario is concerned, Kik is busy looking for more donations from the crowd so that they can afford this legal fight with the US regulators.
Why did KIK ended up in this Legal Fight?
There have some serious reasons that led to this fight.
First of all, it was revealed that in late 2017, Kik raised almost $98 million with a potentially illegal ICO. It was then found that this prodigious amount so that they can develop Kin Blockchain protocol as well as the cryptocurrency ecosystem.
Moreover, it was further noted that Kin tokens were never registered with US regulators. And keeping in mind the laws and rules, SEC saw it as a violation of security law in America.
When the exact facts and figures were noted, it was found that Kik itself has contributed $5 million to the fund. The amount, however, is held in special Coinbase accounts as of now. The CEO stated earlier this month that at least $5million has already been spent by the firm throughout this whole deal already.