The United States Securities and Exchange Commission (SEC) has requested an early summary judgment in its lawsuit against Kik over the messaging company’s $100 million KIN initial coin offering (ICO) during 2017.
The SEC first brought its case against Kik in June 2019. The commission argued that the company’s ICO comprised a clear issuance of securities. While Kik has sought to claim that KIN comprises a currency and not a security, the SEC claims to have “undisputed evidence” to the contrary. The SEC states that:
“Kik’s 2017 offer and sale of Kin was an offer and sale of investment contracts to the public, which was not registered with the SEC, and for which there was no exemption from registration under the act.”
Kik sold over half a trillion tokens to investors outside of Canada and raised $100 million via its ICO during September 2017. Read More...