Kik, one of the prominent mobile-based chat applications has announced its intentions to launch its own cryptocurrency, Kin. According to the company, Kin will be an ERC20 token based on Ethereum blockchain. It will also act as a payment method within and maybe even outside the chat application.

According to reports, the implementation of Kin tokens will not only make it easy for its users to send and receive money, but it will also end up giving Kik an edge over other competitors in the market. A result of almost three years of development, Kin cryptocurrency will not only create a prolific in-app economy but also promotes user engagement.

Kik’s CEO and founder, Ted Livingston was quoted talking about the uses of Kin cryptocurrency on one of the leading business magazines,

“There are a bunch of ways to earn it: You could watch ads, you could host a great group chat, create a great sticker, build a great bot. So, there’s all these different ways as a consumer you could come in and earn value and then spend value. And how that makes money for Kik is, we create a new cryptocurrency for Kik such that there’s only going to be so much of it. And we set some of that aside for us. So that if more and more people transact in this cryptocurrency, the value of it grows.”

Once Kik implements the new cryptocurrency tokens, it will gain at least 15 million of its total 300 million registered users. The company has already tested the reception of Kin by introducing Kik points — a rewards program which was received well by the userbase. The platform could replace the existing Kik points with Kin tokens to make the transition smooth and effortless.

There are speculations of an upcoming ICO involving Kik’s new cryptocurrency, which will be managed by soon to be established Kin Foundation. These new developments have put the chat application in a new light, indicating exciting times ahead for the cryptocurrency industry.

Ref: CNBC | The Spectator | Image: NewsBTC