The NFT Profile – Reddit Experiment

Reddit is testing NFT profile pictures on its platform just a few weeks after Twitter implemented a similar feature.

In 2021, the popular social media platform had approximately 430 million monthly users. It is reportedly working on an NFT profile picture implementation to allow users to set their profile picture to any non-fungible token with an attached image.

Last week, Twitter made NFT profile pictures available to Twitter Blue subscribers on iOS. However, NFTs have recently received a significant backlash from gamers and Web2 developers. A Github contributor shared a browser extension. It automatically blocks Twitter accounts with NFT profile pictures a day after the launch.

For quite some time, Reddit has experimented with various initiatives centered on NFTs. It even created a subreddit for NFT-related activities.

The company launched cryptocurrency tokens for its /r/cryptocurrency and /r/Fortnite communities in May 2020. These tokens, known as MOONs and BRICKs, are based on Ethereum standards.

Bitcoin Has Mirrored the Sharp Fluctuations

This year, Bitcoin has mirrored the sharp fluctuations in traditional markets. It highlighted the growing link between cryptocurrencies and traditional financial assets as more professional traders enter the digital finance arena.

The world’s largest cryptocurrency is increasingly following the movements of assets that have sway over other global markets. According to Goldman Sachs research, correlations with US tech stocks, crude oil, and government bonds have all increased significantly over the last two years.

Markets wobbled in the first weeks of 2022. Hence, Bitcoin frequently moved in near lockstep with Nasdaq 100 futures — derivatives that are considered a proxy for sentiment toward America’s tech behemoths. While the price movements of bitcoin are much more volatile than those of many traditional financial assets, the links between the two asset classes are attracting the attention of analysts and investors. A growing number of hedge funds are betting on cryptocurrencies. Meanwhile, Wall Street banks are offering digital asset lending and custody to their clients, and high-frequency trading firms are becoming more active in the space. Simultaneously, sizeable digital asset specialists such as Galaxy Digital and Genesis Trading play a much more significant role in a market that retail traders previously dominated.

According to analysts and traders, the entry of prominent financial participants into the market is the primary reason. Bitcoin is now behaving more like a traditional risky asset.