Unchained Kin Sets Up $5 Million DefendCrypto.org to Take on the SEC - Ep.121
May 28, 2019
Ted Livingston, CEO of Kik and founder of the Kin Foundation, alongside Patrick Gibbs, a partner at Cooley LLP, dive deep into the $5 million DefendCrypto.org initiative aimed at challenging the SEC. They outline their legal strategy to redefine the Howey test, discussing complications with cryptocurrency regulations. The duo shares insights on the ramifications of the SEC's actions against the Kin token and the urgent need for clarity in law to stimulate innovation in the crypto space. Their passionate defense against regulatory scrutiny is both illuminating and empowering.
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Kik and SEC
- The SEC first contacted Kik three days after their token sale.
- After 18 months and $5 million, Kik remains frustrated with the lack of regulatory clarity.
New Howey Test
- Kik believes their case could establish a new Howey Test for cryptocurrencies.
- A new Howey test from this case may not help the fast-moving crypto industry because court cases take years.
Kin's status with SEC
- The SEC hasn't clarified whether their concern is Kin's initial sale or its current status as a security.
- It remains unclear whether the SEC considers Kin a security like Ether during its sale or whether it believes Kin must further decentralize.