Can Kik Succeed Where Facebook Failed?

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Kik, the popular social media network, is gearing up to launch all ambitious ethereum ICO project, which could see it become the world’s first social network of its kind to offer cryptocurrency services for its subscribers. If the project sounds familiar, that’s probably because Facebook attempted exactly the same a few years ago, only to see it fall flat on its face.

Having started life as something of an outside-entrant with little chance of toppling its rivals, Kik has earned venture capital to the tune of $100 million and an active user-base of 15 million per month. It might not operate on the same scale as Facebook, but Kik managed to earn both a name and a reputation for itself by introducing a unique points system as interactivity incentives.

The fact that this could eventually be monetised in some way was apparently an ongoing goal and consideration for the company.

On the downside, the fact that Kik reported having 200 million registered active users just a couple of years ago makes for less reassuring reading. And of course, they’re also attempting to succeed in something that even Facebook couldn’t make a success of back in 2013. Facebook Credits bit the dust in just two years and isn’t likely to make a reappearance anytime soon.

Can Kik Succeed Where Facebook Failed?

Still, the team behind Kik is confident that their own project will be a success, having carried out a 2.5 year project to study its potential.

CEO and co-founder Ted Livingston talked of how ‘Kik Points’ had demonstrated the proposed model for integration of cryptocurrency with social media. And most importantly of all, the fact that the site’s users responded well to it.

“If we can make this work, we can build one of the largest, most adopted cryptocurrencies in the world, just by integrating this into Kik, and putting Kik Points on the blockchain,” he said.

Of course, only time will tell if the gamble pays off and Livingston wasn’t willing to talk Kik’s current or projected financial situations. But he did state that the project could have huge ramifications for both the company itself and those who use it.

“We really do view this as a new monetization model, not just for the broader ecosystem, but also for ourselves. Our goal now is to make this cryptocurrency as widely used as possible,” Livingston concluded.

You can find out more about initial coin offerings and the Ethereum Network in general over at Ethadvisor.com.

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