Reddit’s latest alteration to its terms of service has had a profound impact on the value of its community token, MOON, which experienced a staggering surge of 200% in just a short period of time.

Rapid Growth of Reddit’s MOON

The renowned r/cryptocurrency subreddit witnessed an impressive 62% increase in the value of its dedicated token, MOON, within the last 24 hours. This remarkable upswing was catalyzed by Reddit’s revision of its terms of service, enabling the exchange and trading of community points.

Explosive Performance and CoinGecko Data

CoinGecko, a trusted platform for cryptocurrency data, reports an astounding surge of nearly 200% in the value of MOON over the past week. At the time of writing, MOON has skyrocketed from approximately $0.09 to $0.278.

Understanding MOON: An Ethereum-Based Token

MOON is a cryptocurrency token founded on the Ethereum blockchain and operates on the Arbitrum Nova layer2 network. With its foundation on the Ethereum network, MOON offers users the ability to access premium features on the subreddit and reward individual contributions within the community.

Redefined Terms of Service by Reddit

Reddit has recently modified its terms of service (ToS) to grant its users the freedom to “earn, claim, purchase, sell, or give certain virtual avatars, goods, currencies, or items that can be cryptographically verified.” This significant alteration to the ToS was initially identified by the unofficial Twitter account for r/Cryptocurrency MOONs.

Distinguishing Virtual Goods and Verified Virtual Goods

CoinGecko co-founder, Bobby Ong, has highlighted the revised terms of service, which now clearly distinguish between Virtual Goods, such as Coins and Awards, and Verified Virtual Goods, including Avatars and Community Points.

Reddit’s Expansion into Web3 Tokens

Reddit has taken a monumental step towards embracing web3 tokens, allowing its users to trade community points more easily. While Reddit’s community points have always been tradable, the process of trading these tokens within the Reddit app was previously cumbersome.

To streamline the trading experience, users were required to export their Reddit wallet’s private key to an external crypto wallet, enabling them to engage in trading on Arbitrum Nova DEX.

Speculations of Reddit’s Future Moves

This recent adjustment to the terms of service has sparked speculation that Reddit may fully embrace web3 tokens. As Reddit Coins, the non-blockchain digital tokens utilized on the platform to reward users, are set to be discontinued by September, it is anticipated that Reddit will explore alternative revenue sources.

Bobby Ong has proposed the possibility of Reddit “embracing Web3 and incorporating DEX natively.” Furthermore, it is conceivable that Reddit will extend the availability of community points to additional subreddits.

The recent amendments to Reddit’s terms of service have propelled the value of the MOON cryptocurrency to unprecedented heights. With its commitment to fostering a vibrant and engaging community, Reddit is positioning itself as a frontrunner in the realm of web3 tokens. As users eagerly await further developments, the future of community-based cryptocurrencies on Reddit appears bright and promising.