Reddit Files for IPO, Reveals Crypto Holdings in Bitcoin and Ether
- The social networking platform applied to the SEC to list on the NYSE with RDDT symbol.
- Although the company did not reveal its exact token holdings in the filing.
Along with corporations like Elon Musks Tesla and Michael Saylors MicroStrategy, Reddit is one of the few that has directly bought digital assets, having put some of its surplus income in bitcoin (BTC) and ether (ETH).
The social networking platform applied to the U.S SEC to list on the New York Stock Exchange with the symbol RDDT in an initial public offering.
Co-founder and CEO Steve Huffman said in the filing:
We are going public to advance our mission and become a stronger company. Our users have a deep sense of ownership over the communities they create on Reddit. This sense of ownership often extends to all of Reddit. We want this sense of ownership to be reflected in real ownershipfor our users to be our owners. Becoming a public company makes this possible.
Net Carrying Value- Immaterial
The social networking platform revealed in its filing that it put some of its spare funds into bitcoin and ether. It also said that it has purchased ether and Polygon (MATIC) as a form of payment for sales of certain virtual goods. Reddit has hinted that it could keep this approach going in the future.
Although the company did not reveal its exact token holdings in the filing, it did state that the digital assets net carrying value was immaterial.
The firm mentioned in the filing:
We hold cryptocurrencies and experiment with blockchain technology, which may subject us to exchange risk and additional tax, legal, and regulatory requirements.
The process of becoming a publicly listed firm has been going on for years with authorities. In December 2021, Reddit submitted its first non-public draft to the SEC. In March, the San Francisco-based firm plans to start trading.
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Read more: https://thenewscrypto.com/reddit-files-for-ipo-reveals-crypto-holdings-in-bitcoin-and-ether/
Text source: TheNewsCrypto – Blockchain & Cryptocurrency News M
