News

Coinbase CEO Outlines Benefits of Reddit’s Cryptocurrency Project

0

Reddit, the popular social media and forum platform, which has a big following of cryptocurrency enthusiasts, made the news when it announced it would be rolling out its “community points” trial, offering users a way to earn a “piece of their favourite communities,” built on top of the Ethereum blockchain.

This crypto project works a little like micro tipping and allows users to be rewarded based on their contribution to their favourite channels, with the community ultimately deciding how many points each user receives. Users can hoard their points or spend them on unique features such as badges, custom emojis and GIFs in comments.

“We continuously run experiments to explore features that engage our users and communities. With Community Points, we’re working exclusively with two communities to test this feature and gather feedback from our users,” a spokesperson for Reddit told CoinDesk.

This move represents another good use case for cryptocurrencies and this has been praised by the CEO of Coinbase, Brian Armstrong, who notes that Reddit is a top 10 website in the USA.

Sign of adoption

Armstrong says he believes the project is an early sign of increasing crypto adoption in the real world.

“This is a huge deal for crypto – Reddit (top ten websites in the U.S.) has launched their cryptocurrency integration,” Armstrong tweeted.

“They do a great job from a legal POV of launching a utility coin, within clear boundaries. Overall this is really well executed, and a model for other crypto startups to emulate for a token launch that helps bring an online community together and delivers real value. The internet finally has a native currency. It’s working folks!”

He went on to add, addressing concerns over lack of uses: 

“For all the people who asked me “where are the use cases?” over the years, this is what it looks like. Lots of hard work by individuals, integrating crypto into real products. Slow incremental improvement, moving the ball one yard every day – there is no big bang moment. Expect to see many more crypto startups launch in a similar way, and use a token like this to build their communities.”

A common thread

This is not the first time that crypto has been utilized to reward users of social media platforms and areas where there is an opportunity to micro tip content creators. Brave has been leading the way with its BAT token which helps content creators to get paid in crypto for their work and to take away the need for middle men.

Darryn Pollock
Darryn has been interested in the blockchain and cryptocurrency space since he heard about Bitcoin in 2015. He then decided to use his journalism degree to report on this fascinating fintech space in 2016, and has not looked back since.

Coinmarketcap’s First Move Under Binance Puts the Exchange top Based on Web Traffic

Previous article

Crypto Derivatives Explode in the FinTech Market as WorldCoinIndex Adds More Features

Next article

Comments

Leave a reply

You may also like

More in News