Reddit, with over 430 million monthly active users, stands as a significant player in the cryptocurrency space. Among its users, a considerable number of cryptocurrency investors are present, and the platform hosts large crypto communities. In recent years, the company has adopted a positive stance towards cryptocurrencies and previously announced that it added cryptocurrency to its reserves in its last balance sheet report.
Reddit Sells Cryptocurrency
In its latest earnings report, one of the largest social media platforms, Reddit, notified the SEC of its activities. The company, which had previously declared that it held its cryptocurrency portfolio to strengthen its treasury, has now reported selling these assets in the third quarter. The presence of a small amount of cryptocurrency in the company’s balance sheet was evident during its public offering application in February.
In a recent statement, the company mentioned:
“Primarily, we sold the majority of our cryptocurrency portfolio, which consisted of Bitcoin 
$71,902 and Ether. The net book value of our crypto assets, as well as the gains from the sale, were insignificant.”
Between July and September, when the company sold its assets, Bitcoin fluctuated between $54,000 and $68,000. If they claim to have made any gains, it indicates their impatience with potentially missing out on the recent market surge.
Reddit’s Ongoing Crypto Involvement
The company still holds a certain amount of cryptocurrency. For instance, old MATIC and new POL tokens from digital avatar sales are included in these reserves. Reddit has experimented with rewarding users through digital tokens and selling collectible items. However, asserting confidence about the future of cryptocurrencies remains uncertain, as their statements affirm.
“While we believe that cryptocurrencies and blockchain technology hold significant potential, the popularity and prevalence of cryptocurrencies are relatively new trends, and it remains unclear whether they will continue to be adopted by consumers and businesses in the long term.”
In the future, any new investments Reddit plans to make in the cryptocurrency space will require board approval. Microsoft is also set to vote on a proposal to explore the use of Bitcoin as a reserve asset during its shareholder meeting on December 10.
As of the time this article was prepared, the price of Bitcoin is at $72,000.
