Two cryptocurrencies associated with Reddit communities experienced significant growth, with increases exceeding 15% in just 24 hours. Investors showed interest in Donut (DONUT) and Moons (MOONS) following the launch of Reddit’s IPO, leading to double-digit price surges on March 21.

Donut (DONUT)

Donut is an ERC-20 token built on the Ethereum blockchain by the ethtrader forum. Users earn DONUT tokens as monthly rewards for contributing to the community, based on the number of upvotes received on their posts. CoinMarketCap data shows DONUT surged by more than 28% in response to Reddit’s IPO announcement.

DONUT daily chart | Source: CoinMarketCap

Moons (MOONS)

Admins of Reddit’s largest crypto community, CryptoCurrency, introduced MOONS tokens to encourage active participation from members. These tokens are distributed monthly based on the karma points earned by users. MOONS saw an increase of at least 18% within 24 hours of the IPO launch.

MOONS daily chart | Source: CoinMarketCap

In related news, Reddit’s IPO was oversubscribed by 5x, aiming for a $6.5 billion valuation, as reported by Reuters. The stock price opened 38% higher than the expected $34 per share price due to overwhelming demand.

Last month, crypto.news revealed that Reddit disclosed holding cryptocurrencies such as Bitcoin (BTC), Ether, and Polygon (MATIC) on its balance sheet in an IPO filing with the U.S. SEC. The company stated that these assets were purchased using excess cash reserves to explore blockchain and crypto technology. Additionally, ETH and MATIC were specifically acquired to settle certain expenses.

Read more: Reddit holds Bitcoin, Ether, Matic on balance sheet per IPO filing

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