Reddit community tokens soar on Kraken listing
The tokens are part of the Reddit Community Points initiative to create cryptocurrencies that would incentivize content creation.
Moons and Brick, two tokens created by users of social media platform Reddit, are up 48% and 443%, respectively, in the past week after being listed on cryptocurrency exchange Kraken.
In an Aug. 7 announcement, Kraken announced the listing of Moons (MOON) and Brick (BRICK) for spot trading and perpetual futures. At the time of publication, users could only deposit the two tokens via the Arbitrum Nova network.
MOON is a community token created for the r/CryptoCurrency subreddit. Tokens are given as rewards for users’ comments and posts. Users can also exchange MOON for badges and emojis for use within the subreddit. The token also grants voting rights for r/CryptoCurrency community polls.
Meanwhile, Brick is a community token created for the namesake battle royale game’s subreddit r/FortNiteBR. BRICK is stored in Reddit’s native crypto wallet, Reddit Vault, and distributed to users based on their karma, or reputation points, every four weeks. BRICK can then be exchanged for special memberships and unlock features within r/FortNiteBR.
At the time of publication, MOON has a fully diluted market cap of $44.3 million, while BRICK has a fully diluted market cap of $17.0 million. The r/CryptoCurrency subreddit has 6.6 million members compared with 2.7 million for r/FortNiteBR.
Since 2021, Reddit has been launching its cryptocurrencies as part of the Reddit Community Points initiative to incentivize content production. When users exchange their community tokens for rewards, Reddit will cover the gas fee needed for the transaction. In addition, tokenholders can participate in governance proposals that introduce new functionality to the tokens.
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