Reddit is running actively on its Blockchain-based points system, and it has unveiled more details about the same. A Reddit user named Magocrypto has posted a video on Reddit, which exhibits essential data about the platform’s blockchain-oriented rewards system, including the fact that the Ethereum Blockchain will power it. 

 A Reddit spokesperson said in a statement,“We continuously experiment with ways to support communities on Reddit. In this instance, we’re working with one community to test a feature that represents a user’s involvement in a community. We value and seek out community feedback as we continue to explore features that engage our users and communities.”

More about Reddit Points

Reddit interpreted that the points are a method to appreciate a user’s contribution within a community. Point balances will be presented beside user names on posts and comments. This is intended to emphasize the most prominent members of a particular community. 

To date, Reddit granted free Karma to those whose posts were upvoted. Nevertheless, the implementation of the points system will introduce real value, as users will be capable of using these points to acquire Special Memberships, which will, in turn, unfasten several features such as GIFs, emojis, etc.  

Moreover, every time a point is used, it will be damaged. This is slightly similar to the Token Burning Mechanism that is utilized to enhance the value of tokens by decreasing supply. In this case, as well, burnt points will indicate that the shares of other point holders develop. Reddit states that this system is a way to profit the whole community as a whole. 

These points will be allocated based on the number of Karma a user has. Reddit will impose 20% of new pits, out of which 10% will be given to Reddit moderators. Initially, 50 million coins will be up for distribution, and another 50 million will be attached in the first year. The total points in distribution will have a cap of 250 million.