Social-media startup Kik Interactive Inc. of Waterloo, Ontario, plans to fight an expected enforcement action from the Securities and Exchange Commission over a 2017 initial coin online offering, Chief Executive Ted Livingston told The Wall Street Journal, setting the stage for a legal battle that could have broad ramifications for the digital-currency market.
The SEC’s enforcement division believes Kik issued an unregistered security when it sold $100 million in “kin,” a digital token that Kik says works like a currency on the its platform, according to Mr. Livingston and documents reviewed by the Journal.
‘Enforcement 40’ for 2020
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