Reddit Announcement On Accepting Cryptocurrency Using Community Points

by | Aug 25, 2022 | Market, Market News, News | 0 comments

Online forum Reddit has come up with a new way to accept cryptocurrency payments through Community Points. This Online discussion board has launched a brand new approach to setting the cryptocurrency funds using Neighborhood Factors. The platform is now in a partnership with FTX. FTX is a renowned crypto exchange to unlock new crypto-enabled paths for Reddit Community Points.

How Does It Work?

Reddit Community Points act as a measurement of reputation in users’ communities. They are shown next to usernames in subreddits. It causes the biggest community contributors to be separated from the crowd. Notably, the Community Points are on the Arbitrum Nova blockchain. It helps users to take their reputation anywhere they’re recognized on the Internet.

Additionally, users can embed GIFs, add animated Emojis, and also run weighted polls to get big decisions in their community.

The company wrote that it is not like regular polls. Rather, these polls give larger opportunities to people who have contributed a huge part to the community. As much as Community Points someone will earn, their votes will carry more weight.

A user can give a tip to someone to make a post or comment. Community Points are allowed to be sent to any Redditor with a crypto Vault.

Niraj Sheth, the staff Software Engineer at Reddit stated that they are always working to empower communities and try to introduce new ways to use Reddit. The decentralized,

self-sustaining blockchain technology offers them to do that. Through FTX, they can do that at scale. 

FTX Responses :

The partnership of FTX Pay with Reddit will now offer users to buy Ether cryptocurrency from existing supported Reddit applications. That can help to pay fees of blockchain networks for their Community Points transactions on-chain.

Community Points will offer users to get Special Membership in their community. Special Membership allows users to unlock multiple features like badges. Also, a user can personalize their presence on the subreddit. It will offer loyalty, achievement, and style badges alone with a highlighted color to their usernames.

Sam Bankman-Fried, the FTX CEO said that they are excited to partner with Reddit to continue their work. That will empower online communities to harness the power of blockchain.

More Advantages :

Now, community points rely on the Ethereum blockchain. Users will be liable for gas fees or the cost related to performing a transaction on the Ethereum blockchain using the points.

According to Fortune, it means paying a cost in Ethereum, that some consumers might not have. It might not know how to obtain it. The partnership between Reddit and FTX will allow the users to convert fiat currency. It helps community points be more accessible to users who do not know much about crypto platforms.

Amy Wu, the head of FTX Ventures, said that the users need to pay Eth gas fees to transact through their Points on-chain. FTX Pay will allow them to do this activity.

Further, he stated that Reddit is a pioneer in gearing the power of blockchain to strengthen online communities to own and control their communities in various ways. They are excited to support them to succeed in their journey!


The Bitcoin Transaction On Reddit :

In 2013, while Reddit was not exactly a mainstream site, it was yet the most widely used site that started accepting bitcoin. As users started to use bitcoin on Reddit, they were expected to take their wallets to other merchants. That demand was assumed to break bitcoin into the mainstream.

The plus points of bitcoin were many. It allowed secure global digital transactions that did not share any personal information in any situation. 

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