Reddit Sells Majority of Cryptocurrency Portfolio in Q3, Citing “Immaterial” Value
According to documents submitted by Reddit to the U.S. Securities and Exchange Commission (SEC), the social media website sold most of its cryptocurrency portfolio in the third quarter, primarily consisting of Bitcoin and Ethereum. The company used the digital assets for financial reserves.
When filing for an initial public offering (IPO) in February, Reddit held a “minuscule” amount of cryptocurrency on its balance sheet, using idle funds to purchase digital assets. The recent SEC filing used the same wording to describe the proceeds from the recent sale, stating that the net book value of their cryptocurrency holdings and the proceeds from the sales are immaterial.
Although the exact amount of cryptocurrency sold remains unclear, the sale occurred during the third quarter, which ended on September 30. Reddit has not yet responded to requests for comment regarding its definition of the dollar value of its cryptocurrency portfolio or what it considers an “insignificant” amount.
Source: BlockBeats News
