{"id":176590,"date":"2023-10-18T18:28:47","date_gmt":"2023-10-18T12:58:47","guid":{"rendered":"https:\/\/dripp.zone\/news\/?p=176590"},"modified":"2023-10-18T18:28:47","modified_gmt":"2023-10-18T12:58:47","slug":"krakens-powell-reddit-should-offer-redemption-path-for-community-points-crypto-news","status":"publish","type":"post","link":"https:\/\/dripp.zone\/news\/krakens-powell-reddit-should-offer-redemption-path-for-community-points-crypto-news\/","title":{"rendered":"Kraken\u2019s Powell: Reddit Should Offer \u2018Redemption Path\u2019 for Community Points – Crypto News"},"content":{"rendered":"
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Jesse Powell, the co-founder and Chairman of the Board at crypto exchange Kraken<\/a><\/span>, has argued that Reddit should have \u201coffered a redemption path\u201d for owners of its discontinued<\/a> crypto-powered Community Points.<\/p>\n

In a post<\/a> on Reddit, Powell wrote that, \u201cI personally don\u2019t see the regulatory problems\u201d cited by Reddit in its explanation<\/a> for the \u201csunsetting,\u201d adding that, \u201cI get that it\u2019s complicated and evolving and maybe Reddit doesn\u2019t want the hassle.\u201d<\/p>\n

The social media platform stated that \u201cThe regulatory environment has added to scalability limitations,\u201d for the Community Points program, cited \u201cscalability limitations\u201d due to the \u201cregulatory environment\u201d and an \u201coutsized commitment to resources\u201d as reasons to wind down the program.<\/p>\n

Following the announcement, the price of Reddit\u2019s MOON<\/a> token plunged by over 80%, while BRICK<\/a>, the token of Reddit\u2019s Fortnite community, dropped by over 50%.<\/p>\n

Powell claimed that the social media platform\u2019s decision, \u201cdestroys the value of the holdings while offering nothing in return.\u201d He pushed for alternative means of redeeming the tokens, suggesting that Reddit should, \u201c Let people buy 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.\u201d<\/p>\n

What are Community Points?<\/h2>\n

Reddit\u2019s Community Points are ERC-20 tokens initially minted on the Ethereum<\/a><\/span> network but later migrated<\/a> to the layer-2 network Arbitrum Nova. The tokens could be redeemed for various perks on Reddit, like badges, emotes, GIFs, and other features.<\/p>\n

Kraken was one of the few U.S.-based exchanges that traded in Reddit\u2019s MOON and BRICK tokens.<\/p>\n

Reddit announced a complete shutdown of the Community Points program by November 8. After that, community points will become invisible on the platform.<\/p>\n

Additionally, tokens that were stored in \u201ccommunity tanks\u201d or ecosystem pools will be burned by the end of the year. Around 40% of MOON\u2019s supply was allocated<\/a> toward community tanks.<\/p>\n

Reddit\u2019s decision to sunset Community Points has not affected its Collectible Avatars, a series of Polygon<\/a><\/span> NFTs issued as free or paid drops by the social media platform. Reddit launched Avatars in July 2022 and has released more than 21 million collectible items, per a Dune dashboard<\/a>.<\/p>\n

Story edited by Stephen Graves<\/a><\/i><\/p>\n

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Jesse Powell, the co-founder and Chairman of the Board at crypto exchange Kraken, has argued that Reddit should have \u201coffered a redemption path\u201d for owners of its discontinued crypto-powered Community Points. In a post on Reddit, Powell wrote that, \u201cI personally don\u2019t see the regulatory problems\u201d cited by Reddit in its explanation for the \u201csunsetting,\u201d […]<\/p>\n","protected":false},"author":2,"featured_media":176591,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[5],"tags":[230,225,221,227,226,228,229,60,223,224,222],"class_list":["post-176590","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-cryptocurrency","tag-brave","tag-coinbase","tag-crypto","tag-decentralised","tag-decentralized","tag-decentralized-exchange","tag-erc-20","tag-featured","tag-meme-coin","tag-robinhood","tag-solana"],"_links":{"self":[{"href":"https:\/\/dripp.zone\/news\/wp-json\/wp\/v2\/posts\/176590","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/dripp.zone\/news\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/dripp.zone\/news\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/dripp.zone\/news\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/dripp.zone\/news\/wp-json\/wp\/v2\/comments?post=176590"}],"version-history":[{"count":2,"href":"https:\/\/dripp.zone\/news\/wp-json\/wp\/v2\/posts\/176590\/revisions"}],"predecessor-version":[{"id":176593,"href":"https:\/\/dripp.zone\/news\/wp-json\/wp\/v2\/posts\/176590\/revisions\/176593"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/dripp.zone\/news\/wp-json\/wp\/v2\/media\/176591"}],"wp:attachment":[{"href":"https:\/\/dripp.zone\/news\/wp-json\/wp\/v2\/media?parent=176590"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/dripp.zone\/news\/wp-json\/wp\/v2\/categories?post=176590"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/dripp.zone\/news\/wp-json\/wp\/v2\/tags?post=176590"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}