Jesse Powell, the co-founder and Chairman of the Board at crypto exchange Kraken, has argued that Reddit should have offered a redemption path for owners of its discontinued crypto-powered Community Points. Powell wrote that he doesn’t see the regulatory problems cited by Reddit for the “sunsetting” of the program, and that Reddit should have given people a way to redeem their points for “Collectible Avatars with points at some ratio or something. Convert the points to Karma, give people a special badge based on holdings at time of burn.” Reddit’s Community Points were ERC-20 tokens initially minted on the Ethereum network but later migrated to the layer-2 network Arbitrum Nova. After Reddit announced a complete shutdown of the Community Points program by November 8, the price of Reddit’s MOON token plunged by over 80%, while BRICK, the token of Reddit’s Fortnite community, dropped by over 50%. Reddit’s decision to sunset Community Points has not affected its Collectible Avatars, a series of Polygon NFTs issued as free or paid drops by the social media platform. This article was edited by Stephen Graves. #CommunityPoints #Kraken #Reddit #Crypto #NFT
You can read more about this topic here: Decrypt: Kraken’s Powell: Reddit Should Offer ‘Redemption Path’ for Community Points
