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Reddit plans to reward its most loyal users during its upcoming IPO, Hope writes from a WSJ report.
Zoom in: 75,000 of the platform's "redditors" will be able to buy shares at Reddit's IPO price before the stock starts trading — an opportunity generally reserved for money managers.
Why it matters: It's an unusual move that could introduce volatility in the stock, but it could also help build more loyalty, WSJ notes.
- The meme stock frenzy, after all, began on Reddit and proved the power of the platform to mobilize retail investors.
- Reddit declined to comment on the report.
Zoom out: Reddit separately announced today that it's setting aside 1% of its common stock over 10 years to fund community-related programs through the Pledge 1% nonprofit.
What to watch: The company is reportedly set to go public next month.
This story was an excerpt from Axios Closer, a recap on the day's biggest business stories.