The makers of Kik’s Kin cryptocurrency, which itself is no stranger to regulatory issues with the US government, do not feel one shred of sympathy for Facebook as Congress rakes Libra over the coals on Capitol Hill.
The chat app, with its more than 300 million registered users, made waves during the 2017 gold rush when it held a nearly $100 million initial coin offering (ICO), only to have social media leviathan Facebook and its 2 billion users steal its thunder two years later.
Kik has decided to go to the mat with the SEC, and has received wide support from the crypto community.
Now that Facebook is tepidly entering the crypto space, Kin Ecosystem General Manager Alex Frenkel commented in remarks shared with CCN about the government’s inquisition of Facebook crypto chief David Marcus.
“I’d like to see regulators ask Facebook why we should trust it when it says that it won’t see any financial data from a wallet service operated by its new subsidiary Calibra or that it won’t have any special responsibility over the Libra Network. When Facebook purchased WhatsApp and Instagram, it also said it wouldn’t be able to unify products under one platform but that’s what is happening today. Everything is being brought together, and Facebook isn’t acting the way it promised. Why will it now?”
Most of Frenkel’s concerns were,