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Reddit Community Tokens Skyrocket Over 300% In Just Two Days

July 18, 2023 - Around 3 mins mins to read

Key Points:

  • Reddit’s tokens Moons (MOON) and Bricks (BRICK) see volatility amid platform changes.
  • Speculation of a potential Kraken listing boosts MOON’s value, while Reddit’s terms update impacts BRICK’s price.
  • The social network aims for simplicity, removing certain bonuses while retaining verified virtual goods.
Moons (MOON) and Bricks (BRICK), the native tokens of Reddit’s r/CryptoCurrency and r/Fortnite subreddits respectively, have experienced significant volatility following recent changes in Reddit’s product orientation. While Moons witnessed a surge in value, fueled by speculation about potential listing on the cryptocurrency exchange Kraken, the excitement was partially misplaced.
Reddit Community Tokens Skyrocket Over 300% In Just Two Days

The change in Reddit’s policy regarding the distribution of reward points was revealed through a tweet by the unofficial Twitter account dedicated to r/CryptoCurrency Moons. According to the tweet, Coins, and Rewards, two bonus mechanisms in the Web2 format, will be removed, while the platform will retain Collectible Avatars and Community Points mechanics. This alteration aims to simplify the platform’s structure, and further details regarding the new direction for awarding will be announced in the coming months.

It’s important to note that the concept of community points, pioneered by Reddit admins through tokens like Moons and Bricks, falls under the category of verified virtual goods, along with Reddit’s collectible avatars. On the other hand, Reddit coins and awards are considered virtual goods and are set to disappear.

The tweet highlighting these changes refers to an archived copy of the platform’s terms of use page, indicating that the news itself is several months old. Nonetheless, the information sparked a surge in MOON’s price, which rose by 270% to over $0.34, as tracked by TradingView. Currently, MOON is listed on exchanges such as SushiSwap, Gate.io, and MEXC.

Reddit Community Tokens Skyrocket Over 300% In Just Two Days
MOON price chart. Source: TradingView

Similarly, Bricks, the token rewarded for contributions in the r/Fortnite subreddit, experienced a significant increase in value, surging by 360% in just two days. The reasons behind this surge are linked to the speculation surrounding impending changes on the social network.

Coingecko’s co-founder and COO, Bobby Ong, acknowledged the impact of the speculation on these tokens’ prices. Ong also suggested that this phenomenon reflects a new trend among social networks in reallocating value to users. His tweet expressed confidence in the future, where social networks will find innovative ways to redistribute value to contributors. Ong mentioned that he himself holds Moon and Brick archives but only for testing purposes.

While the potential listing of Moons on Kraken was hinted at by a member of Kraken’s support team, it should be noted that Moons are currently supported by a limited number of exchanges, including MEXC, Gate.io, SushiSwap, and RCP Swap. If Kraken were to list Moons, it could bring significant changes to the token’s trading landscape. Users on the r/CryptoCurrency subreddit humorously speculated that they would adopt Kraken as their exchange of choice. The support team member, named Bill, directed people to a form for filing coin listing requests.

Reddit Community Tokens Skyrocket Over 300% In Just Two Days

As Reddit continues to navigate changes in its product orientation, the volatility of Moons and Bricks demonstrates the impact these alterations have on the value and trading activity of community tokens. The future of Reddit’s awarding system remains uncertain, but the recent developments highlight the evolving landscape of social networks and their efforts to provide value to their user communities.

DISCLAIMER: The information on this website is provided as general market commentary and does not constitute investment advice. We encourage you to do your own research before investing.

BRICK

Bricks

Collectible Avatars

Kraken

moon

Moons

r/cryptocurrency

r/CryptoCurrency r/Fortnite

r/Fortnite

Reddit

Author

Harold

With a passion for untangling the complexities of the financial world, I've spent over four years in financial journalism, covering everything from traditional equities to the cutting edge of venture capital. "The financial markets are a fascinating puzzle," I often say, "and I love helping people make sense of them." That's what drives me to bring clear and insightful financial journalism to the readers of Coincu.