According to a trending report, Reddit, one of the largest social platforms, has started making moves to implement ERC-20 token for Community Points representing ownership of a subreddit.
These tokens will be distributed to the users of the social platform on a monthly basis. And the distribution will be based on users’ contributions with comments and posts.
How the Points Can Be Used
The points accrued by users can be used in diverse ways depending on the subreddit involved. But it will include some features such as badges, gifs, stickers, and others.
As soon as points are used by the users, they will be burned permanently. Also, if any user that has no point is interested in buying membership, it can be purchased directly from Reddit using US dollars, and the tokens will be burned on their behalf afterward.
Why this Matters to Ethereum (ETH) Ecosystem
This supposed upcoming development is a big deal to the Ethereum ecosystem. Reddit is obviously one of the most popular social platforms across the world, and it boasts of over 400 million users.
Once ERC-20 is successfully introduced, it will automatically bring massive userbase to the Ethereum ecosystem. This will also compel the novices to learn about what wallet management entails.
Other decentralized applications on Ethereum could as well receive an inflow of users, even if a small percentage of users on the social platform, explore the options at their disposal with the wallet.
The new Point system about to be introduced will foster interaction between users and the social platform.
Conclusively, the Ethereum ecosystem will only get bigger, with another big means to advance in its quest for mainstream adoption.