- Reddit disclosed in its IPO filing that it holds bitcoin, ether, and MATIC
- The revelation came as part of Reddit’s filing with the SEC to go public on the NYSE under “RDDT,” without disclosing specific holdings
- While Reddit’s use of Ethereum and Polygon for NFT avatars was known, its investment in Bitcoin signifies a strategic move for investment purposes
Reddit has revealed in an IPO filing that it holds bitcoin, ether, and MATIC and has said that it may continue to build its crypto portfolio in the future. The social media platform made the revelation as part of its filing with the US Securities and Exchange Commission (SEC) to go public on the New York Stock Exchange under the ticker symbol “RDDT,” although the company did not reveal its holdings. The holding of ETH and MATIC is not a surprise as the platform has used both Ethereum and Polygon for its NFT avatars, but its bitcoin holdings are purely for investment reasons.
Reddit Blockchain Adventure Started in 2022
Reddit revealed in January that it was seeking to go public in March, a sentiment made good with this week’s filing. All companies filing for IPOs need to list their investments and the risks associated with those investments, which is where we learned about the company’s crypto holdings.
Acknowledging the potential risks associated with holding cryptocurrencies, Reddit highlighted concerns such as exchange risk and additional tax, legal, and regulatory requirements. Despite these considerations, Reddit said that it remains committed to exploring blockchain technology and its applications within its platform, which it started with its NFT avatars in September 2022.
Holdings Not Revealed
The decision to go public marks a significant milestone for Reddit after undergoing a lengthy process with regulators. The company’s co-founder, Steve Huffman, emphasized the importance of advancing Reddit’s mission and empowering its user community.
While Reddit did not specify the exact amount of tokens it holds, it emphasized that the net carrying value of these digital assets is considered “immaterial” in its financial statements.
Reddit joins the likes of Tesla and Microstrategy in holding Bitcoin as a form of investment, although it seems its holdings are far less than these two.
