SEC sues venture-backed Kik Interactive for digital token sale
The Securities and Exchange Commission (SEC) has sued Kik Interactive Inc, alleging the Waterloo-based messaging app conducted an illegal US$100 million offering of digital tokens. In 2017, Kik said it would raise US$125 million by selling tokens called Kin. The SEC charges the offering and sale were not registered as required by U.S. securities laws. By failing to register, Kik “deprived investors of information to which they were legally entitled, and prevented investors from making informed investment decisions,” the SEC said. Kik has raised financing from Foundation Capital, Millennium Technology Value Partners, RRE Ventures, Spark Capital, SV Angel, Tencent, Union Square Ventures, Valiant Capital Partners and other investors.
5 June 2019•3 mins read
