After Craig Wright’s barrage of lawsuits and the campaign to raise money for Hodlonaut, there’s a new movement/initiative in crypto, the “defend crypto” movement/fund organized by the Kin Foundation. It is an attempt at fighting the U.S. Securities and Exchange Commission.
Kin is a cryptocurrency project led by messaging service Kik, which has been in conflict with the SEC for allegedly offering unregistered securities via an ICO that raised $100 million in 2017. The movement is being supported by many in the cryptospace, while some have massively criticized it.
Whale Panda, a trader and market commentator who doesn’t use his real name, called out this movement and said that Kin was trying to cover its “shady ICO” by socializing the movement and in turn, pressurizing the SEC.
The tweet read,
Kin & the “defend crypto” fund: we did a shady ICO which was obviously a security. We took $100 million from idiot investors. Our negotiations with the SEC are going terrible.
Now we want to socialize it and use other shady ICOs/VCs to put pressure on the SEC.
This 👇 is a lie. pic.twitter.com/es7xR5S2hz
— WhalePanda (@WhalePanda) May 29, 2019
The tweet also called Ted Livingston’s statements, a lie. Additionally, Whale Panda tweeted,
“But well good thing that their website has an up-time monitor, in case their “decentralized” blockchain goes down. 🤔🤦♂️”
Monero’s Riccardo Spagni weighed in as well. He tweeted,
Maybe he means they’re using another cryptocurrency after using Kin😂
— Riccardo Spagni (@fluffypony) May 29, 2019
Josh Lawler, an attorney, also voiced his opinion on Medium, stating that the SEC will lose even if they win. The blog read,
“One of the main reasons the SEC exists is to protect the “Main Street” investor. Unfortunately, as astutely pointed out in KIK’s response to the Wells Notice, enforcement against KIK will hurt the very people the SEC is supposed to protect.”
Additionally, the blog added that the SEC, in its goal to protect “Main Street” investors, had developed a perception that they are against innovation.
Circle vaguely announced their support for the movement by tweeting,
We’ve been vocal about the need for regulatory clarity so crypto can flourish in the United States and fortunately we’re not alone in this fight.
— Circle (@circlepay) May 28, 2019
However, prominent personalities like Whale Panda, Riccardo Spagni, Jeremy Rubin, and others, did not sympathize with the movement. Jeremy Rubin tweeted,
“Hot take: Honestly this whole defend crypto thing is kinda sickening industry hogwash, crypto isn’t under attack, your shady business practices are. Kin probably is a security. Curious what the rejected SEC deals were, probably actually pretty friendly”
Subscribe to AMBCrypto’s Newsletter
Facebook and JP Morgan’s tryst with digital assets legitimizes crypto-industry, claims Bitpay’s Singh
Akash is your usual Mechie with an unusual interest in cryptos and day trading, ergo, a full-time journalist at AMBCrypto. Holds XRP due to peer pressure but otherwise found day trading with what little capital that he owns.