Recently, the social-media app Reddit announced that it is nearing $700 million in Series F funding, led by Fidelity Management and Research Company LLC. at a post-money valuation of over $10 billion.
Well, the financial services giant Fidelity approached Reddit with another $410 million funding in round raising its valuation to $10 billion and giving the company more leeway in timing its planned IPO.
"Fidelity made us an offer that we couldn’t refuse,” Steve Huffman, told the New York Times “We are still planning on going public, but we don’t have a firm timeline there yet.”
Source: Reddit
The round comes just some six months after the company closed a $250M Series E fundraising at a reported $6B valuation. Reddit has grown further since then marking its first $100 million advertising revenue quarter (Q2 2021), representing a 192 percent increase compared to the same period last year.
Steve Huffman said that Reddit still needs to up its game to move up the ranks of the social media industry. One of the approaches it’s implementing is with its Ethereum-based cryptocurrency rewards program, Community Points.
In July Reddit selected Arbitrum as the winner of its Scaling Bake-Off to choose a platform to grow Community Points throughout the subreddit ecosystem. Arbitrum has been attracting some major DeFi protocol developers in past few months.
Reddit users can earn Community Points by contributing to their subreddits by submitting high-quality posts and comments. Reddit hopes this reward system will strengthen and expand its communities, and will bring more people to crypto in general and Ethereum in particular.
Users can store these community Points on the Reddit app’s Vault, where they can be freely traded or used for a variety of purposes like tipping, and awards.
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