Kik Founder Calls Blockchain DLT ‘Unconvincing’ After Raising $100M ICO
Months after launching its Initial Coin Offering (ICO), Ted Livingston, Kik’ CEO, said that ‘almost nobody should be looking at it [blockchain technology].’ The comment has been made at the True North tech conference earlier this week.
Kik CEO Not Convinced About Blockchain
It is full of individuals and figures in the financial and technology market that do not trust cryptocurrencies and similar tokens. It is very common to hear comments related to fraudulent activities and scams. But the same does not seem to happen very often in the blockchain industry.
Countries and businesses that have been complaining about Bitcoin and virtual currencies, embraced blockchain technology because it is an incredible useful tool for improving security, registers, and other important information.
For Ted Livingston the situation is a little bit different. Kik was planning to launch a cryptocurrency that was known as Kin, related to the messaging app and its users. He explained that he believes that the technology does not have a lot of practical applications for other businesses other than Bitcoin and cryptocurrencies.
During the meeting Mr. Livingston said:
“What does blockchain do at the end of the day? It allows you to have a database that’s trustless. That can be applied in a bunch of ways, but most of those ways, you still need trust.”
Blockchain allows individuals and companies to create an indelible ledger that registers important information according to the industry in which it is being implemented. For example, retail stores (and consumers) are able to track the origin of a product from where it was produced until it reaches the table of a family.
At the same time, he wondered why instead of putting so much energy into solving ‘meaningless’ math problems the power consumption used to mine bitcoin is not used for other activities.
Kik aimed to create a digital currency that would allow users to send each other payments and help Kik developers to build other functionalities on top of it. The company has been working with Ethereum and Stellar, which are two of the most important blockchain networks in the market.
At the moment there is no specific date for the launching of the platform or cryptocurrency that they are developing, but he explained that it will be ‘as soon as possible.’
The cryptocurrency that the company is developing may be very helpful for the platform that is used for millions of users all over the world.
“We are playing an impossible game. You know, we were trying to deliver software to consumers, and in doing that we needed to make money to sustain ourselves,” explained Livingston.
It may be interesting if in the future Kik is able to prosper after finding an incredible use in blockchain technology for its platform.