Kik Messenger will not be shutting down after all. On its Twitter account the app stated it’s ‘here to stay’, and it will get ‘even better’. Details about a re-launch, the new owner or a new purpose for the messaging app haven’t been revealed just yet. Originally Kik Messenger would’ve just down on October 19th.
Last week CEO Ted Livingston announced on Twitter that he signed a Letter of Intent with an unknown buyer. “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”, he wrote.
The integration of the Kin cryptocurrency in Kik Messenger essentially is the cause of all the problems. Following Kin’s 100 million dollar ICO the company came under investigation of the U.S. Securities and Exchange Commission. The SEC believes the company issued unregistered securities.
Livingston wants to fight the SEC in court, until the company has no money left. To cut costs he planned shutting down Kik Messenger. He would only work on the Kin ecosystem with a small core team.
Kin ecosystem lives on
Kin tokens and their ecosystem aren’t going anywhere. Livingston emphasized that Kin is not available on many exchanges, and the company needs to create usability to create value. The company wants to move forward with Kin and achieve the following:
- Improve the Kin blockchain so that it supports billions consumers making a dozen transactions per day. Confirmation times should be just one second.
- They want to accelerate adoption, growth and success of all developers in the Kin ecosystem.
- And the company wants to build a mobile wallet that allows users to buy KIN easily, and then seamlessly explore the ecosystem from within the app.
Faith of employees unknown
When Kik announced it would close its messenger, more than one hundred employees at Kik Interactive and other branches would lose their job. Now that Kik Messenger has been saved, the employees might keep their job. This has not been clarified yet. In addition it has to be said that almost every takeover comes with a cut in the workforce.
Also published on Medium.