Like most of the other cryptocurrencies available, Kin prices change overtime in a directly proportional manner to Bitcoin-meaning that Kin token prices rice when Bitcoin prices rise and vice versa. A fact that has been proven over time, as was seen in the kin price surge from the kin ICO price of $0.00011 to $0.00145 in January 2019. It happened before the crypto winter that rocked a significant part of 2019 commenced. As more people become aware of the Kin token, which resulted in the creation of more apps, questions arise about what will be the fate of the price of this cryptocurrency in the long run. Many factors may come to play as regards the price. Still, this article will only touch three, which are the price of Bitcoin, the Kin Rewards Engine, and the final verdict of the case between the new owners of Kik and the Security Exchange Commission (SEC) of the United States.
The Price of Bitcoin
Unlike Kin, no company is responsible for the production of Bitcoin; instead, miners produce them. This cryptocurrency has successfully become a yardstick and a basis for comparison with most cryptocurrencies. Kin price charts show a similarity in the changes in price patterns of Kin and Bitcoin. The price of Bitcoin, as well as other cryptocurrencies, dropped last year during the crypto winter. It has begun to rise again and possibly expected to increase even further by the middle of this year, meaning that we can expect the kin token prices to rise in like manner.
The Kin Rewards Engine
The system that releases Kin tokens gradually overtime is called kin reward engine. Kin reward engine is different from Bitcoin mining. It is a reward system for app developers, users, and investors. When developers create new apps, they usually factor in subscriptions or ads to earn from their work. However, Kin offers an alternative that retains optimal user experience while helping the user and developer gain. The engine releases the Kin tokens to the users for the time they spend on the app daily. The app developers are also guaranteed a percentage of kin token released. As more apps are released, and more users hop on the train, more tokens will be released over time, leading to an increase in supply. An increase in amount should generally lead to a reduction in price, but the Kin prices will rise in the long run.
The verdict of the lawsuit
The SEC filed a lawsuit against Kik on June 4, 2019, for allegedly conducting a sale of unregistered securities. The accusation made was about the auction held for the Kin ICO in 2017. Should the company lose, it is not clear how badly the Kin price will be affected. If they win, however, the outcome is bound to be positive.