Ted Livingston, CEO of Canada-based messaging startup, Kik Interactive, has reportedly vowed to drive his company into bankruptcy if need be, in the ongoing legal battle with the United States Securities and Exchange Commission (SEC).
According to the local news agency, Global News, Livingston made the bold assertion while speaking to an audience at the Elevate Conference in Toronto on Wednesday, two days after the company shut down its messaging app and cut down its workforce from 151 to 19 people.
He promised to keep up the fight to vindicate the status of its Kin cryptocurrency which the U.S regulators labeled as being used for an unregistered ‘security’ token offering. Livingston reportedly told the audience:
“We have to keep going. Until that’s it, we don’t have a dollar left, a person left. We will keep going, no matter how hard it is.”
As reported, Kik is currently facing a legal battle with the U.S SEC, after the regulatory body claimed that the initial coin offering (ICO) through which Kik raised $100 million in 2017, qualified as a security offering and thus should have been registered with the agency.
Kik, on its part, has denied those claims as well as other allegedly ‘twisted statements’ which the U.S SEC emphasized in a court filing submitted a few months back. Kik has raised $5 million for the lawsuit as well as over $2 million from industry participants who believe that the trial could set the right precedent for the emerging U.S crypto ecosystem.
However, fighting a case against a regulatory body as significant as the U.S SEC means there will be a long delay, which could strain Kik’s resources, hence the latest comments by Ted Livingston.
He also noted that after reviewing the two options available to them, that is, to either accept the charges or contest it, they decided it was in their best interest to fight. Taking the charges, as he explained, would mean that they accept strict regulations that would impede their revenue model.
“We feel very confident that we are correct. We need to fight,” Livingston told the audience.