As if the news about Reddit shuttering its Community Points program (which Moons was a part of) it turns out that the Mod team met with the Reddit Admins in charge an hour beforehand and were given a notice that this was going to be announced. Even though the Mods had previously agreed to not only not sell any moons no matter what was said but they also were not going to buy any moons until the news went public. Almost as soon as the news broke blockchain sleuths began to investigate the recent transactions on the blockchain and were quick to identify 3 transactions in particular that were extremely suspicious.
Prior to the chaos that was about to erupt, the price of moons had really been moving sideways around the $0.23 to $0.25 level. Once the announcement came moons fell off a cliff to roughly around the $0.03 level. Due to the sudden and dramatic fall people naturally went and looked at the transactions to see if there had been anything suspicious and that is where the 3 large transactions were found. In the roughly hour-long period between the Mods finding out from Reddit and the news being made public 3 significant sales occurred totaling over $100,000 in ETH.
Because these are public blockchains that are extremely easy to track especially when the Mods are even more so identifiable it did not take long for 2 Mods in particular to show pretty clear evidence of wrongdoing and selling out their moons before it was known. It appears based on the conversations that are going on though that the issue might also involve other Mods not acting in good faith as well and possibly tipping off others to sell their moons. The two people who were blatantly caught Reddit has kicked off of the platform and from the sounds of it are making every sort of effort to prevent them from ever being able to rejoin the site. Others have discussed launching possible lawsuits over this but unless someone in the Community is a lawyer and would want to take up the case this path seems highly unlikely.
It is going to be hard for moons to overcome this... well honestly travesty that has wrecked the Community. There are so many unanswered questions that even the Mods are trying to figure out and while they maintain that Moons will continue to have a purpose and place in the Community it is hard to see how exactly that will look or take shape. They have announced that they are skipping the next two distributions as they figure things out and understand how the token dynamics will work moving forward. Reddit has a considerable chunk of moons and how these are handled whether turned over to the Community or burned will have an impact on future distributions.
By far the biggest takeaway from this all is that once money gets involved with things like what happened here people sadly change and some will make selfish choices. Moons existed long before they had any sort of monetary value but once they did the subreddit did suffer. It is sad to see but it really is a prime example of human nature and how it can destroy the best things with the best intentions.
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