Last Updated on[update the US SEC is suing Kik for running an unregistered securities sale]
Kin (KIN), the native token of Kik Messenger, a messaging platform popular with young people, particularly in North America, is sitting pretty for prime time.
Kin is being considered for a listing on Coinbase Pro, and is now supported on Coinbase Custody, for good reason: it is being used in the real world and has a fantastic development team based in Tel Aviv.
Holding back the price has been the indecision over whether to stick with Ethereum, move to Stellar or do something altogether different.
It has now plumped for the later with its own blockchain, migrating the ERC20 token to Kin’s very own Blockchain. That should clear the way ahead for a stronger price and steady adoption traction.
Kin-powered apps taking off
The Kin Foundation set up the Kin Developer Program with backing of $3 million and there were 27 apps in the incubator as of March this year.
In addition there’s the Kin Gaming Challenge, which grew out of its partnership with Unity, one of the most popular gaming SDKs and now with Kin integration. The challenge has put 25 billion Kin up for grabs for game developers to compete for.
Also, with Unity onboard expect the apps development to accelerate. The first app out the door was Kinit, which rewarded users for taking surveys and the like. Now things are getting a bit more interesting.
Tippic is a good example of the type of apps being built, allowing Kik users to tip content creators.
There’s wide potential to gamify user interactions in social media products and for use in regular gaming.
Something not commonly appreciated is that the Kin token is not just confined to the 300 million users of the Kik app.
Other apps that support Kin include AR make-up site Perfect365, dating app Reveald and video-sharing app Kimeo.
Notably it truck a deal with MadLipz, which sees the Kin token integrated for the social entertainment app’s 40 million users around the world.
A forthcoming game called Fly Away, built by the well-regarded Argentine games studio Bigfoot, will be landing on Android soon.
Kin supply and the price’s golden cross
One of the things that holds Kin back in terms of price appreciation is the supply, which is 10 trillion. As a utility token aimed at social apps of one kind or another, supply needs to be big, so this criticism is wide of the mark.
In the last bull market the price did rise to the extent that it was propelled into the top 100 cryptoassets by market cap.
Although the price has collapsed from the highs, the return on investment (i.e. if you bought in the ICO) is -46%, which is not bad considering.
The token is currently priced at $0.000050 and against ETH (the main trading pair) is at 0.00000027464.
On the chart shown below, note the golden cross of the 50MA crossing the 200MA is a classic bullish sign.
Something similar has happened with bitcoin but we need to be cautious on drawing parallels there, given the constrained liquidity of the Kin markets, which sees most volume on ETH-based DEXs.
Facebook Coin effect
It could be argued that the imminent arrival of Facebook Coin could blow all other such efforts out of the water but this is unlikely. In fact, it may be more likely that a halo effect is probable.
Facebook will bring legitimacy to crypto tokens in social media and the pioneers like Kin that are still in the game could be beneficiaries.
Also, from what we know about Facebook’s efforts, FB Coin will likely be exchangeable outside the FB ecosystem, which could help Kin leverage off any FB Coin success.
Kin’s daily usage of approximately one million on the apps currently supporting it, provides investors with a metric to gauge future progress and a base that mitigates risk from here.
Kin Rewards Engine and migration are positives
The Kin Rewards Engine (KRE) designed to incentivise developers for building successful apps is a great idea although in practice the price of the token needs to rise in price several fold from where it is now to make those rewards more worthwhile and enticing.
The KRE is based on the number of “Daily Active Spenders” an app has.
Back with the migration to the Kin Blockchain, this can be carried out through a swap service from CoinSwitch or Changelly or a supporting exchange but the window for that route closed in March.
The migration completes on 12 June, s buying now could get investors in on the ground floor.
It is easy to see the price mushrooming from current levels as the general market picks up.
Quality project and Coinbase has noticed
Investors will increasingly be looking around for quality projects with a working product and the backing of an established company that’s been trading successfully for years. Kin fits the bill.
Further adding to the positives, at the end of April Coinbase Custody announced it would be supporting Kin on its insured cold storage platform, which will be attractive to institutions looking to construct diversified crypto portfolios.
That could be a precursor to Kin coming off Coinbase’s “exploring” list published in December last year to an actual listing in June after the migration is done.
In the chart below, the red line is the 50-day moving average and the white line the 200MA.