Kik, a freeware instant messaging mobile app from the Canadian Company Kik Interactive get off the ground with a new attempt to fight US Securities and Exchange Commission, The firm, Kik has reportedly launching $5 million crypto campaign initiative to prepare a lawsuit against US SEC.
$5 Million Fund to Take on the SEC
Crypto proponents believe that the regulatory circumstances around the crypto industry are certainly hampering the global adoption of cryptocurrencies. However, the $5 million fundraising campaign of Kik is dubbed as DefendCrypto.org which is trending on Twitter with hashtag #DefendCrypto.
Just to remind, back in 2017, the platform Kik had raised approximately $100 million in ICO for its kin token. During a similar time, SEC reacted at Kik, stating that the Kin tokens might have been an unregistered security issuance. Nevertheless, in SEC’s view – as chairman Jay Clayton – pointed ICO is a security. On the one hand, kik stick on its token to be as a currency – on the other hand, SEC opens the reverse note. The whole scenario now led Kik to initiate a new campaign to fund $5 million against US SEC with name defendcrypto.org – the website states that the US SEC has set a “dangerous precedent and has stifled innovation’.
The battle was initially revealed on Unchained podcast wherein Kik Founder Ted Livingston states
“When we speak to people in the industry, we need to stop living under this cloud of fear, what will the SEC think? What will the SEC think? Because we all know [crypto] is the next mega-trend of technology and by always having to ask ourselves, ‘What will the SEC think?,’ we are giving ourselves a fundamental handicap to compete on the global stage,” he said. “Enough is enough, we need clarity, and the only way we’re going to get clarity is if we go to court, so let’s do that.”
#DefendCrypto Receives Industry Support
Following the campaign, few prominent leaders including VC Fred Wilson, Circle CEO Jeremy Allaire, TechCrunch founder Michael Arrington, Morgan Creek’s Anthony Pompliano and many others expressed their support to the firm on social media Twitter by including #DefendCrypto.
Venture Capitalist Fred Wilson states that – It is my hope that DefendCrypto will be an inspiration for the many other important crypto projects that are silently battling with the SEC to come public and raise capital from the crypto sector to fund these efforts.”
TechCrunch founder Michael Arrington points – This morning (link: http://DefendCrypto.org) DefendCrypto.org Launches To Help KIN And Others Fight The SEC. Arrington XRP Capital Supports It.
Circle CEO Jeremy Allaire Adds #defendcrypto launches with significant industry support
In addition, co-founder of Morgan Creek Digital, Anthony Pomp a.k.a Pomp also spoke about kin foundation, noting that ‘Things are about to get very interesting”.
Accepting Donation in 19 Cryptocurrencies
Further, the firm’s website defendcrypto.org adds that they accept funds on Coinbase account and take the case on in court. Anyone who wishes to contribute to the campaign can donate funds via 19 cryptocurrencies ranging from Bitcoin (BTC), ether (ETH) and XRP, as well as less standard options like augur (REP), DAI and Kik’s kin (KIN) token as well.
Kik’s campaign with a new fund is proposed to fight on behalf of the industry. In addition, crypto investor Fred Wilson mentioned on his blog;
“It is my hope, and Kin’s hope, that DefendCrypto.org will be an inspiration for the many other important crypto projects that are silently battling with the SEC to come public and raise capital from the crypto sector for their fights.”
Accordingly, Kik demands SEC to begin Howey Test of KIN token once again which deals with whether certain transactions falls as investment contracts.
Tabassum is a full-time content writer at Coingape. Her passion lies in writing and delivering apt information to users. Currently, she does not hold any form of cryptocurrencies. Follow her on Twitter at @Tabassumnaiz and reach out to her at Tabassum[at]coingape.com