# SEC sees $5M victory in case against Kik
“# SEC sees $5M victory in case against Kik ”
The Canadian messenger app fell afoul of the U.S. regulator for failing to treat its sale of KIN tokens as a securities offering. A district judge confirmed the SEC’s view at the end of September, but only today did the court see the final judgment.
As a result of today’s judgment, Kik will need to pay the SEC $5 million in penalties and keep the commission posted as to any capital raises for the next three years. Given that Kik was a firm in financial dire straits before its initial coin offering (ICO) for KIN, it’s an open question as to whether it will survive.
Alongside the SEC’s victory over Telegram in a similar ruling, many commentators have seen recent court decisions as putting an end to end to Simple Agreement for Future Token contracts that were the legal framework for a number of the largest ICOs of recent years.
For forums sites go to Forum.BuradaBiliyorum.Com
If you want to read more News articles, you can visit our General category.
