{"id":114968,"date":"2019-10-08T17:15:52","date_gmt":"2019-10-08T17:15:52","guid":{"rendered":"https:\/\/cryptoslate.com\/?p=114968"},"modified":"2019-10-08T17:15:52","modified_gmt":"2019-10-08T17:15:52","slug":"kik-may-sell-its-messaging-app-to-keep-the-service-alive","status":"publish","type":"post","link":"https:\/\/cryptoslate.com\/kik-may-sell-its-messaging-app-to-keep-the-service-alive\/","title":{"rendered":"Kik may sell its messaging app to keep the service alive"},"content":{"rendered":"<p>The Kik messaging app may not shut down after all as the CEO, Ted Livingston, claims there's a buyer interested in purchasing the platform.<\/p>\n<h2>Keeping Kik alive<\/h2>\n<p>On Sept. 24, <a href=\"https:\/\/twitter.com\/ted_livingston\">Ted Livingston<\/a>, CEO at Kik Interactive Inc, <a href=\"https:\/\/medium.com\/@tedlivingston\/moving-forward-boldly-with-kin-ec6290a6453\">announced<\/a> the shut down of its messaging app, Kik. Livingston explained that running the app alone costs over $1 million a month. But, these resources should instead be directed at continuing the legal battle against the U.S. Securities and Exchange Commission (SEC) over a <a href=\"https:\/\/www.sec.gov\/litigation\/complaints\/2019\/comp-pr2019-87.pdf\">lawsuit<\/a> that declared its 2017 ICO an unregistered securities offering.<\/p>\n<blockquote><p>\u201cWe soon came to the realization that we can\u2019t afford [Kik]. This was the hard part. When we looked at all the options, we said we need to shut this down. By focusing on <a href=\"https:\/\/cryptoslate.com\/coins\/kin\/\">Kin<\/a>, we can help save everything else,\u201d said Livingston.<\/p><\/blockquote>\n<p>Now, the Canadian entrepreneur is working to keep the Kik messaging app alive. In a Tweet, Livingston <a href=\"https:\/\/twitter.com\/ted_livingston\/status\/1181231828511932417?s=21\">revealed<\/a> that the firm signed a letter of intent with a company that is interested in purchasing the app and continue developing it with the integration of KIN.<\/p>\n<blockquote><p>\u201cWe just signed an LOI with a great company. They want to buy the app, continue growing it for our millions of users, and take the Kin integration to the next level. Not a done deal yet, but could be a great win win,\u201d stated Livingston.<\/p><\/blockquote>\n<p>Although further details have not been disclosed yet, the move comes as a surprise to Kik\u2019s 300 million users who were forced to move into other messaging apps.<\/p>\n<blockquote><p>\u201cThis just made my day\u2026 Kik is everything and millions of us can't lose this app so hopefully it stays,\u201d <a href=\"https:\/\/twitter.com\/foreverluv13\/status\/1181238176788049921\">commented<\/a> rapper and songwriter Tia.<\/p><\/blockquote>\n<h2>Legal battle<\/h2>\n<p>In 2017, Kik Interactive Inc. raised approximately $100 million from over 10,000 investors in an initial coin offering (ICO) via the KIN token. Half the investment came from U.S. investors.<\/p>\n<p>In response, the U.S. Securities and Exchange Commission sued the messaging app in June for selling tokens, alleging they\u2019re unregistered securities for U.S. investors. According to Steven Peikin, co-director of the SEC\u2019s Division of Enforcement:<\/p>\n<blockquote><p>\u201cKik deprived investors of information to which they were legally entitled, and prevented investors from making informed investment decisions.\u201d<\/p><\/blockquote>\n<p>As the firm prepares to meet the SEC in court by May 2020, Ted Livingston said he is willing to take the company into bankruptcy, if necessary, in order to challenge the regulatory agency\u2019s allegations.<\/p>\n<blockquote><p>\u201cWe have to keep going. Until that\u2019s it, we don\u2019t have a dollar left, a person left. We will keep going no matter how hard it is,\u201d said Livingston in a <a href=\"https:\/\/globalnews.ca\/news\/5952327\/canadian-kik-sec-cryptocurrency\/\">speech<\/a> at the Elevate conference.<\/p><\/blockquote>\n<p>Selling the Kik messaging service platform may alleviate part of the insolvency issues the firm is facing as it fights a costly legal battle against the SEC. At the moment, Kik Interactive Inc. is not the only firm that is under the Commission's radar. In August, the regulatory agency <a href=\"https:\/\/cryptoslate.com\/veritaseum-ico-sec-legal-alleged-fraud-veri-drops-60\/\">filed<\/a> an emergency legal action against the owner of <a href=\"https:\/\/cryptoslate.com\/coins\/veritaseum\/\">Veritaseum<\/a>, whose ICO raised almost $15 million. Around the same time, a new <a href=\"https:\/\/cryptoslate.com\/heres-why-xrp-is-struggling-can-ripples-partnerships-help-it-recover\/\">complaint<\/a> was filed against <a href=\"https:\/\/cryptoslate.com\/companies\/ripple\/\">Ripple<\/a> is arguing that <a href=\"https:\/\/cryptoslate.com\/coins\/xrp\/\">XRP<\/a> tokens are unregistered securities.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>The Kik messaging app may not shut down after all as the CEO, Ted Livingston, claims there&#8217;s a buyer interested in purchasing the platform. Keeping Kik alive On Sept. 24, Ted Livingston, CEO at Kik Interactive Inc, announced the shut down of its messaging app, Kik. Livingston explained that running the app alone costs over [&hellip;]<\/p>\n","protected":false},"author":148,"featured_media":80032,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[35372,11],"tags":[],"post_folder":[],"acf":[],"yoast_head":"<!-- This site is optimized with the Yoast SEO Premium plugin v21.9 (Yoast SEO v21.9.1) - https:\/\/yoast.com\/wordpress\/plugins\/seo\/ -->\n<title>Kik may sell its messaging app to keep the service alive<\/title>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/cryptoslate.com\/kik-may-sell-its-messaging-app-to-keep-the-service-alive\/\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"Kik may sell its messaging app to keep the service alive\" \/>\n<meta property=\"og:description\" content=\"The Kik messaging app may not shut down after all as the CEO, Ted Livingston, claims there&#039;s a buyer interested in purchasing the platform. Keeping Kik alive On Sept. 24, Ted Livingston, CEO at Kik Interactive Inc, announced the shut down of its messaging app, Kik. Livingston explained that running the app alone costs over [&hellip;]\" \/>\n<meta property=\"og:url\" content=\"https:\/\/cryptoslate.com\/kik-may-sell-its-messaging-app-to-keep-the-service-alive\/\" \/>\n<meta property=\"og:site_name\" content=\"CryptoSlate\" \/>\n<meta property=\"article:published_time\" content=\"2019-10-08T17:15:52+00:00\" \/>\n<meta property=\"og:image\" content=\"https:\/\/cryptoslate.com\/wp-content\/uploads\/2018\/08\/token-sale-now-what-social.jpg\" \/>\n\t<meta property=\"og:image:width\" content=\"1200\" \/>\n\t<meta property=\"og:image:height\" content=\"630\" \/>\n\t<meta property=\"og:image:type\" content=\"image\/jpeg\" \/>\n<meta name=\"author\" content=\"Ali Martinez\" \/>\n<meta name=\"twitter:card\" content=\"summary_large_image\" \/>\n<meta name=\"twitter:title\" content=\"Kik may sell its messaging app to keep the service alive\" \/>\n<meta name=\"twitter:creator\" content=\"@cryptoslate\" \/>\n<meta name=\"twitter:site\" content=\"@cryptoslate\" \/>\n<meta name=\"twitter:label1\" content=\"Written by\" \/>\n\t<meta name=\"twitter:data1\" content=\"Ali Martinez\" \/>\n\t<meta name=\"twitter:label2\" content=\"Est. reading time\" \/>\n\t<meta name=\"twitter:data2\" content=\"3 minutes\" \/>\n<script type=\"application\/ld+json\" class=\"yoast-schema-graph\">{\"@context\":\"https:\/\/schema.org\",\"@graph\":[{\"@type\":\"NewsArticle\",\"@id\":\"https:\/\/cryptoslate.com\/kik-may-sell-its-messaging-app-to-keep-the-service-alive\/#article\",\"isPartOf\":{\"@id\":\"https:\/\/cryptoslate.com\/kik-may-sell-its-messaging-app-to-keep-the-service-alive\/\"},\"author\":{\"@type\":\"Person\",\"@id\":\"https:\/\/cryptoslate.com\/author\/ali-martinez\/#person\",\"name\":\"Ali Martinez\",\"url\":\"https:\/\/cryptoslate.com\/author\/ali-martinez\/\",\"mainEntityOfPage\":{\"@id\":\"https:\/\/cryptoslate.com\/author\/ali-martinez\/\"},\"image\":{\"@type\":\"ImageObject\",\"@id\":\"https:\/\/cryptoslate.com\/author\/ali-martinez\/#authorimage\",\"url\":\"https:\/\/cryptoslate.com\/wp-content\/uploads\/2019\/04\/victor-charles-profile-e1555981456737-300x300.jpg\",\"contentUrl\":\"https:\/\/cryptoslate.com\/wp-content\/uploads\/2019\/04\/victor-charles-profile-e1555981456737-300x300.jpg\",\"caption\":\"Ali Martinez\"},\"jobTitle\":\"Analyst\",\"description\":\"Ali came across Bitcoin\u2019s whitepaper in 2014. 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