How is Popular Messaging App Kik and Its KIN Cryptocurrency Coin Developement Coming Along?
KIN is a token that was initially running on Stellar and Ethereum.
However, it has since shifted to its own unique fork of the Stellar Lumen network. The new Kin blockchain runs on a federated model.
What is Federation?
A federated network is a form of a permission-based model where the validators are limited to those inside the federation. It does not allow just anyone who has online access to verify the blocks or a company to have total control. Instead, the verification is done via a node of validators.
Future and existing members of the federation are apps that build the kid-powered experience. They may also intend to integrate into Kin in the future. In future, the other members of the federation ecosystem such as wallet services and exchanges will be able to run a node on the network.
The Ecosystem Growth
In Q4 2018, Kin launched the Kin experiences inside Swelly. A feedback exchange platform that gives users of the Swelly app on iOS and Android the chance to earn and spend their Kin for an opinion.
They also revealed that a pair of new partners including Tapatalk and MadLipz had signed on, which will have the potential to onboard millions of futures users of the ecosystem.
Kin has also collaborated with DoSomething.org to create a fun poll experience inside Kinit during the US elections. After the poll, users earned Kin and they were directed to register so that they could vote if they had not done so already.
Kin also launched admin tipping inside Kik, which is a P2P feature that lets users send Kin to others inside the app. With this feature, users can take part in public group chats that reward group administrators for enabling a positive and useful user experience inside the application.
As a result, it keeps the groups productive, safe, and engaging. This launch took place soon after Kik released their chat themes. It is the first experience powered by Kin for all its Android users.
Issues of Centralization and Supply
In its first ICO, KIN managed to raise $70 million. However, it did not go down without some issues. This was because the project only sold 10% of the tokens. Thus, it remained in control of a huge amount of the tokens.
The funds are held by the KIN Foundation and major investment funds such as Blockchain Capital, Pantera Capital, and Polychain Capital. The implication is that the whales are in charge of the Kin ecosystems. Thus, the ecosystem is highly centralized, which goes against the principle of the thing.
It Looks Good on Paper
In general, the project looks awesome on paper. However, it is questionable how many of the user numbers been given out are actual users that are active who will actually switch from using fiat to crypto.
There is also an issue of the circulating supply. Thus far, there is 756 billion in circulation while the Kin foundation and Kik hold 1.2 trillion respectively.