Reddit now allows users to buy Ethereum cryptocurrencies on its platform through integration with FTX, a cryptocurrency exchange owned by billionaire Sam Bankman-Fried.of press releaseFTX announced that Reddit users can now use the company’s payment system, FTX Pay, when managing Blockchain-based community points.
Reddit first rolled out Community Points in 2020 as a way to reward users for their interactions with the community. These points reside on his Ethereum blockchain and are stored in the user’s blockchain-based wallet, ‘Vault’. Collectible NFT (Non-Fungible Token) Avatars Reddit featured last month.
Reddit displays a user’s community points next to their username as a measure of reputation, but you can also get community-specific memberships, vote on decisions, reward creators on the platform, and send tips. It also provides a variety of ways to use it, such as Only users of the two subreddits, r/cryptocurrency When r/ForniteBR Community points are currently available, but Reddit plans to expand to other communities in the future.
However, since Community Points reside on the Ethereum blockchain, users bear gas fees or other costs associated with performing transactions on the Ethereum blockchain when using their points.As pointed out by luckwhich means paying the fee in Ethereum, but some users may not have it or don’t know how to get it. ) can be converted to Ethereum to cover those costs, making community points more accessible to people who don’t know much about crypto.
Amy Wu, head of FTX Ventures, said, “Users need Eth as a gas fee to trade points on-chain. FTX Pay makes that possible. said in a tweet“Reddit is a pioneer in harnessing the power of blockchain to empower online communities to own and control their communities.
In addition to facilitating Ethereum purchases on the platform, FTX’s Reddit integration could also represent Bankman-Fried’s bet on the survival of the memestock phenomenon that started on Reddit. Last year, activity on subreddits such as r/WallStreetBets Helped drive GameStop stock to unprecedented heights.
May, Bankman-Fried disclosed a 7.6% stake At Robin Hood Free trading platform popular with young investorsand there are rumors that he may be I am considering buying a company. FTX too brought about traditional stock trading To All US users in the last month.