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FTX exchange partners with Reddit to enable on-chain transactions using community points

Posted on by admin
10
Aug
  • Through the partnership, Redditors can purchase eth er from supported Reddit apps using FTX Pay.
  • FTX CEO says the partnership proves FTX’s commitment to enabling online communities to utilize blockchain technology.

According to an official statement, the top crypto exchange, FTX, is in partnership with the popular social networking site, Reddit. Under the terms of the deal, Reddit users (known as Redditors) can use their earned community points to perform on-chain transactions. Redditors would be able to complete these transactions using the exchange’s proprietary payment solution, FTX Pay.

It is worth noting that Reddit launched its community points initiative last year after partnering with Arbitrum, a top Ethereum scaling solution. The Reddit community points are a measure of Redditors’ contributions and reputation in various communities on Reddit. Through the Arbitrum technology, Redditors can use their community points anywhere accepted.

Some incentives Redditors get to enjoy with their community points include unique membership benefits and access to supported community tokens. Also, point owners can gift their points to deserving members for good behavior or publishing exciting content. According to the announcement, Redditors can buy ether with FTX Pay from any platform that supports Reddit apps.

Thus, making it possible for them to pay gas fees through their earned community points. Niraj Sheth, a Redditt software engineer, commented that the Reddit team continues to seek to improve the Reddit communities and Reddit as a whole. He added that decentralized and self-sustaining blockchain technology is one way it aims to achieve this purpose. “We can do this at scale through our partnership with FTX.”

In his comments, FTX CEO, Sam Bankman-Fried, said FTX had proven again that it is committed to enabling online communities to optimize the power of blockchain technology. He added that customer experience is seamless after FTX Pay’s integration with Reddit community points.

The FTX CEO further remarked that the partnership would enhance the development of Web3 utilities. Reddit’s move is similar to twitter’s bitcoin tipping feature. Recall that Twitter integrated a blockchain rewards system on its platform earlier in the year.

Off-chain Labs launches Arbitrum Nova

News of the FTX-Reddit partnership follows a Tuesday announcement that Off-chain Labs will launch the Arbitrum Nova chain. Off-chain Labs is the developer team behind the Arbitrum network. According to the official statement, Off-chain Labs plan to make the Nova the top solution for Web3 social and gaming apps.

Besides FTX and Reddit, google cloud, QuickNode, and Consensys were part of Nova’s “Data Availability Committee” following their active participation in the launch. Reddit has been utilizing blockchain technology for several years. The popular social discussing site previously allowed users to use Bitcoin to pay for their premium membership until 2018 when it stopped.

In November 2021, one of the site’s founders, Alexis Ohanian, launched a $100 million Web3 investment fund. About a month later, Ohanian partnered with polygon (an Ethereum scaling solution) to launch another $200 million Web3 and social media fund.

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