Kik messaging app, which had hundreds of millions of registered users, has decided to shut down its chat app services. The firm was placed in the elite ranks of tech unicorns with a valuation of $ 1 billion and is now closing its entire media-related works as it is shifting its focus and remaining resources entirely on growing its cryptocurrency.
The company which kick started in the year 2010, Kik had a wide swath of users with the promise of being able to chat anonymously, without registering phone number or other personal details. The app also had received $50 million funding from a Chinese tech giant Tencent.
The firm grew big alongside other popular messaging apps which include WhatsApp, Facebook Messenger, Line, and Telegram. But the anonymity feature of the app became a double-edged sword for the firm. Due to this the company had to face heat from law enforcement and the SEC pressured the firm to track criminals.
Now the firm is completely focusing on the generation of cryptocurrency and it will be coming up with a new name by the end of 2020. The CEO of the firm recently said that the company will be trying to work on cryptocurrency generation and all the legal actions have been taken regarding this, to ensure that there is complete transparency.