Almost a month after the announcement of its proposal to move to the Solana Blockchain, the cryptocurrency project Kin announced Friday that the move had been approved by its board and community and a transition plan would be released in the coming weeks.
A massive growth in the user base behind the Kin Foundation's decision
The Kin Foundation said in a press release that the move to Solana's blockchain was the answer to a growth in the user base, which was leading to touch the technical limitations of the fork of the Stellar blockchain on which the cryptocurrency is currently built.
According to the company, the cryptocurrency currently has over 3 million Investors active monthly and has been integrated into 57 different applications, mainly mobile. App developers, node managers and board members of the Kin Foundation (Ted Livingston, who founded the Kik messaging app and is the face of Kin, and William Mougayar, an author who hosts the annual Token conference Summit) voted on the proposal that was released on Github last month.
"We were already pushing against the limit of the Stellar fork," said Mougayar. He also said that the increase in users that affected the foundation required that the cryptocurrency Kin be able to process more than 100 transactions per second, which is the upper limit of the Stellar fork.
According to Anatoly Yakovenko, Solana's co-founder, the blockchain can handle up to 60.000 transactions per second on its current mainnet. "In addition to speed, Solana's natural ability to scale has proven to be a determining factor in their (Kin's) decision," commented Yakovento.
Regulatory problems continue to repress the foundation
This is not the first time that cryptocurrency has changed blockchain. Launched by Kik in 2017, Kin was originally built on the Ethereum blockchain, but a few months later it announced a change of course for which it would use Ethereum for security and the Stellar blockchain for transactions.
Subsequently, in May 2018, Kin announced that it would fork the Stellar blockchain to create its own. According to the company's statements, as part of the cryptocurrency transition to Solana, the blockchain company also promised to give 1% of all Solana's token offering (equal to $ 3,5 million) as subsidies to the Kin Foundation.
Although Kin continues to expand its user base, regulatory issues it has faced in the past continue to persist. "Unfortunately, Kin is not getting much recognition in the market because of the bad influence of the SEC [US Securities and Exchange Commission]," said Mougayar.
