Reddit Offers Early IPO Access to Power Users as Olive Branch After API Changes
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Reddit is allowing select power users to invest early in its upcoming IPO as a reward for their contributions and to maintain good relations after recent API changes strained that relationship.
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Some Reddit users see the potential for Reddit to become the next "meme stock" that gets manipulated by communities like r/WallStreetBets, leading to big gains or losses.
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Others are interested in investing because they see Reddit's potential as an alternative search engine as Google declines in quality.
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Reddit still has lots of room for making money from ads and data licensing despite recent rapid user growth.
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But some are skeptical of Reddit's profit potential and wish it had offered users free shares rather than just the option to invest their own money.