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Kik Raised Almost $100M Through its ICO
Mobile messaging app Kik raised nearly $100 million through the coin offering of its own ethereum token called Kin, the company announced in a statement.
Described by TechCrunch as the “highest-profile” ICO undertaken thus far by a consumer internet company, Kik’s public coin offering follows the $50 million it had already raised through the private sale of Kin to institutional investors, including Polychain Capital, Blockchain Capital and Pantera Capital.
Here’s more on Kik’s fundraising efforts, via TechCrunch, which notes that the total raised fell a little short of the Ontario-based company’s initial targets.
The exact amount is 168,732 ETH — around $47.5 million based on today’s $282 ETH price — came from over 10,000 backers. Combined with $50 million raised in a pre-sale for institutional investors the grand total is around $97.5 million.
The Canada-based startup initially planned to raise as much as $125 million from backers, but it elected for a sale system that imposed a purchase cap on buyers of its ‘Kin’ token. Although unclaimed tokens were resold, it was never likely to sell out to the full amount. Added to that, Kik opted to prevent Canada-based individuals from taking part after regulators deemed its token to be a security, which didn’t help its cause.
But Ted Livingston, founder and CEO of Kik, was nonetheless happy with the results of the company’s fundraising efforts.
“We wanted as many people as possible to participate in the Kin token distribution event,” Livingston said in a statement. “Based on the outpouring of support leading up to and during the event, we clearly achieved that goal. We envision Kin as the foundation for a decentralized ecosystem of digital services, starting with Kik, and we couldn’t be more thrilled than to build this new future together with you.”
The 10-year-old company has 15 million monthly users – a mostly very young target market – and is valued at about $1 billion, according to TechCrunch.
Photo: Kik Interactive