Bitcoin News

Reddit has said it will be tokenizing karma points into Crypto

According to a newly hired Reddit programmer, the social media platform may soon turn users’ karma points into Ethereum-based (ERC-20) tokens and enrol 500 million new crypto users.

Rahul, a Reddit programmer, has been tweeting about Reddit’s efforts to boost user interaction through different cryptocurrency projects.

A layer-two rollup utilising Arbitrum technology, called Community Points, had been released by the platform. There is a statement on the site:

β€œYour Community Points exist on the blockchain, independently of Reddit, where they can only be controlled by you (just like Bitcoin (BTC) !).”

It will be possible for Reddit and Offchain Labs’ Arbitrum network to create a blockchain instance that can be used to store tokenized community points.

According to Rahul, the Rinkeby Testnet on the Arbitrum network will be scaled for gasless transactions, which currently has about 80,000 community points from two subreddits: r/cryptocurrency and r/FortNiteBR.

Even more importantly, Reddit communities will be able to fork blockchains by consensus, enabling for the exploration of new revenue models in the Web 3.0 age.

β€œWhen we all pull this off, we would onboard 500M web2 users into web3 and then there is no going back. Let me say that again – 500 million new crypto users.”

Population-driven crypto projects like Dogecoin (DOGE) fundraisers have proven popular on Reddit, which continues to attract a large community of crypto enthusiasts.