Reddit Partners with Ethereum Foundation to Find Scaling Solutions for its ‘Community Points’ Reward System

Reddit has partnered with Ethereum Foundation to scale its recently launched ‘Community Points,' which are ERC-20 based tokens. The social platform now wants to offer availability to the new  ‘Community Points' for their 430 million client base. It has since invited proposals from developers within Ethereum's community in a bid to find viable scaling solutions.

“Our goal is to find a solution that will support hundreds of thousands of Community Points users on mainnet today, and can eventually scale to all of Reddit (430 million monthly users),”  reads the announcement post by Reddit.

Notably, Reddit introduced its ‘Community Points' reward tokens as recent as last month, a venture which seems promising, though costly, at the moment due to scaling inefficiencies. The firm rolled out a pilot test for two crypto tokens dubbed ‘$BRICK' and ‘$MOON' to be allocated to r/FortniteBR and r/Cryptocurrency subreddit members, respectively.

Going by the latest developments, this initiative has already encountered its first challenge hence the call for developer's input. According to the Reddit post, its newly released crypto ecosystem can only be viable through efficiency in gas cost, an area that most designs have failed to account for token acquisition costs and scalability opportunities. The post emphasizes,

“Community Points distributions have cost an order of magnitude more gas than all other operations combined, primarily due to on-chain storage costs associated with onboarding new users.”

Consequently, it is not surprising that Reddit has decided to leverage the expertise within Ethereum's developer community to solve these shortcomings. The post goes on to highlight there is a lot of work in progress noting that Reddit would benefit best with the assistance of industry veterans,

“It's unclear how to determine the best solution. There is a lot of code, a lot of documentation, and a lot of hype out there. But there are very few objective real-world reviews or comparisons of various products/implementations,”

As per the invitation, scaling experts who wish to submit proposals should do so before July 31. In addition, their demos will be required to at least integrate 100,000 users in testing the Community Points reward initiative by Reddit. Interestingly, the rewards system has gained significant traction onboarding around 17,000 Fortnite players on Reddit while the platform's crypto community now has over 3,500 digital wallets.

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Edwin Munyui
Edwin Munyui
Edwin is a FinTech enthusiast with a particular interest in blockchain technology and cryptocurrencies. He has worked as an author in the blockchain space since 2017 and enjoys creating content that both crypto veterans and newbies can understand. His simple writing style and financial market knowledge have made him a reputable fundamental and technical analyst with the ability to handle any topic around blockchain and crypto over the years.

[Alert] Use the author's self-conducted information at your own risk, do you own research, never invest more than you are willing to lose.

[Disclosure] The published news and content on BitcoinExchangeGuide should never be used or taken as financial investment advice. Understand trading cryptocurrencies is a very high-risk activity which can result in significant losses. Editorial Policy \\ Investment Disclaimer


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