Reddit and FTX collaborate to make ETH gas fees for community points possible

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Last Updated on August 10, 2022 by Bitfinsider

With the new connection, Reddit users will be able to use FTX Pay, the company’s payment and exchange infrastructure platform, to buy Ether from supported Reddit apps.

Online community Reddit, which shied away accepting Bitcoin (BTC) payments years ago, now appears to be edging closer to accepting cryptocurrency payments thanks to a new agreement with the FTX exchange.

In a joint statement on Tuesday, Sam Bankman-Fried’s cryptocurrency exchange FTX and Reddit stated that the platform would incorporate Reddit’s Community Points in the US, the EU, Australia, and other markets.

As part of the agreement, FTX Pay will be integrated as a payment and cryptocurrency exchange service, enabling new benefits for Reddit Community Points. Reddit Community Points, which were introduced in May 2020, are a gauge of reputation in subreddits or communities, enabling users to own a piece of their preferred communities.

“As a unit of ownership, points capture some of the value of their community. They can be spent on premium features and are used as a measure of reputation in the community,” Reddit stated with reference to the Community Points were introduced two years ago. Arbitrum, one of the most popular scaling solutions for Ethereum, is the foundation of Reddit Community Points.

With the new connection, customers will be able to utilize FTX Pay, the company’s payment and exchange infrastructure platform, to buy Ether (ETH) through compatible Reddit apps. The coin can be used to pay network costs for Community Points transactions on-chain as well as blockchain gas expenses.

Reddit staff software engineer Niraj Sheth said: “We’re always working to empower communities and introduce new ways to use Reddit, and decentralized, self-sustaining blockchain technology allows us to do that. By working with FTX, we’re able to do this at scale.”

Bankman-Fried stated that FTX’s commitment to enabling online communities to utilize the power of blockchain is demonstrated by their cooperation with Reddit. “FTX Pay’s payment and exchange infrastructure integrates with Reddit Community Points, making the customer experience a more seamless process,” he added.

The announcement coincides with Tuesday’s introduction of the Arbitrum Nova chain by Arbitrum developer Offchain Labs. The second chain to be introduced in the Arbitrum ecosystem, Arbitrum Nova, is intended to be the best option for Web3 gaming and social apps. In addition to Reddit and FTX, companies like Google Cloud, Consensys, P2P, and QuickNode also took part in the launch by joining Nova’s “Data Availability Committee” as its first members.

Reddit, one of the most well-known websites in the US, has long been heavily active in the cryptocurrency and blockchain industries. The discussion site was originally recognized for letting users use Bitcoin to pay for their premium memberships, however in 2018 they no longer allowed this option.

Alexis Ohanian, a co-founder of Reddit, has a long history in the cryptocurrency industry and last year he established a $100 million Web3 investment fund. Later, Ohanian unveiled a second $200 million Web3 and social media fund in association with Polygon, an Ethereum scaling solution.


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Hardware wallets are safe and secure devices that can be used offline. They keep your cryptocurrency offline, making it impossible for you to be hacked. To find out more on the leading hardware wallets, you may view our reviews here: Ledger & Trezor
Disclaimer: The views and opinions expressed by the author, or any people mentioned in this article, are for informational purposes only, and they do not constitute financial, investment, legal, tax or other advice. Investing in or trading cryptocurrency or stocks comes with a risk of financial loss.

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