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Glanced over it. Complete word salad. Corporate nonsense: baffle them with bullshit.
You get points from communities. These points are stored on the block chain, because why not? The points themselves come from reddit, but the communities distribute them. Since they're on the block chain, reddit can't take back your magic bean points or whatever once you get them. Nevermind that they're worthless and that reddit controls the only platform that they're even remotely useful on.
Emphasis mine. Someone has to pay for it, because that's how the block chain works. For now it's Reddit. In the future? Who knows!
How does this benefit the consumer? It doesn't, really. Potentially it gives posters more control over a subreddit, but looks like mods will still hold essentially all the power when it comes to a subreddit, which is how it works now.
How does this benefit reddit as a business? It doesn't, really. They're handing out magic beans with the selling point being that they can't take them away from you once you get them. It costs them money to do this, because it's on the block chain as opposed to some in-house database. This replaced coins, right? They killed an income stream and replaced it with an expense.
They get to tell investors that they're into the block chain when they launch their IPO, I guess. All I can say is buyer beware. Chances are high the powers that be unload their stock options in the IPO hype and then get the hell out of dodge. They might have waited too long, though. The tech bubble deflated, and I don't know if the books are impressive enough to draw in the big bucks from investors.
If you want genuine control over your community, start one on the Fediverse and self-host an instance. No admins will kick you off since you're your own admin and head mod rolled into one.
$5/month per community
You may have missed it, but they snuck in that Special Memberships (subreddit subscriptions, which unlock badges and emojis and stuff) cost $5 a month per subreddit, outside of Reddit Premium. You can also spend 1000 Community Points, but if you don't have the balance and want the benefits, you'll be giving reddit money.
It feels like reddit has come to understand how much closer redditors feel to their communities than reddit as a whole - reddit is hated, but users still cling to their communities. A sitewide Reddit Premium badge is irrelevant, even repugnant and a badge of shame, but special flairs and features in close knit communities are still desirable.
This is reddit exploiting their users' relationships with their communities with a stackable 5 buck alternative to Reddit Premium.
I still don't really get who gets the money from this special membership? I understand people subscribe to YouTube and twitch personalities because they want to support the creator and they get most of the money, but what incentive does anyone have to buy this community membership here? Is it really just the special avatars/badges/whatever?
Clout in a community they care about. I can't relate to wanting it, but people buy clout all the time online and in games. This is basically a more personalized Twitter Blue.