Reddit to Shut Down Community Points Feature Citing Scalability Concerns
– Reddit has announced that it will be shutting down its blockchain-based rewards service, “Community Points,” on November 8th.
– The decision was made due to scalability issues, with no viable path to scale the feature across the platform.
– Community Points, which rewarded users with points for positive engagement in certain subreddits, aimed to incentivize higher-quality content.
– The points were Ethereum-based ERC-20 tokens stored in Reddit’s in-house crypto wallet service, the “Reddit Vault.”
– Each subreddit had its own token, such as Moons (MOON) for r/CryptoCurrency and Bricks (BRICK) for r/FortNiteBR.
– Users could spend these points on badges and exclusive items for their avatars.
– The decision has led to disappointment and anger among Reddit users and crypto enthusiasts, with the value of MOON and BRICK tokens plummeting.
– Reddit clarified that users’ tokens will not be burned and transfer functionality will remain active.
– The move has been criticized by some users, with one stating they will no longer use the platform and hoping those responsible “rots in hell.”