Reddit Reveals Bitcoin And Ether Holdings In IPO Filing

Social media giant Reddit has revealed using some of its excess cash to invest in Bitcoin (BTC) and Ether (ETH).

The information was disclosed on Feb. 22 in its prospectus for an initial public offering (IPO) on the New York Stock Exchange.

In addition to holding what it described as ”immaterial” amounts of Bitcoin and Ether at the end of last year, it also revealed that it had at some point also bought Ether and Polygon (MATIC) as a way to pay for virtual goods, and added that it ”many continue to do so in the future.”

Reddit To Join MicroStrategy, Tesla Among Listed Firms Holding Crypto Assets

If the IPO filing is approved, Reddit expects its stock, under the ticker “RDDT,” to start trading in March. It would join a small number of public companies, including Michael Saylor’s  Microstrategy and Elon Musk’s Tesla, that hold cryptocurrencies on their balance sheets.

JUST IN:
Reddit has invested its excess cash reserves in #Bitcoin

It’s just getting started 🚀 pic.twitter.com/082krriUdb

— Vivek⚡️ (@Vivek4real_) February 22, 2024

Reddit posted sales of $804 million 2023 and holds $1.3 billion in cash and $1.6 billion in assets, the filing said.

Reddit’s co-founder, Steve Huffman, said the public listing, which would be the first by a social media company since 2019, sought to advance the company’s mission while making it a stronger company.

It also wants to give its users a sense of ownership. “Being a public company makes this possible,” Huffman said.

Donut (DONUT), an ERC-20 token representing community points for the /r/ethtrader subreddit, is up 42% in the last 24 hours, according to CoinGecko data.

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