Reddit, the Internet's favorite place to share links, has raised about $50 million in funding.
This is the round we told you about earlier this month, and many of the details are in keeping with that report.
What's new and interesting is that the round was led by an individual — Y Combinator president Sam Altman — and that he, along with the other investors, plans to allocate 10 percent of the equity they are buying to Reddit users.
How exactly that's going to be managed hasn't yet been figured out (or, more importantly, approved by bankers and lawyers), but Altman said Reddit may dole out shares using a distributed accounting system, a la the bitcoin block chain.
Though Altman is not providing the majority of the $50 million, he is leading the round and setting its terms. Other investors include Andreessen Horowitz and Sequoia. Other individuals include Peter Thiel, Ron Conway, Paul Buchheit, Jared Leto, Jessica Livingston, Kevin and Julia Hartz, Mariam Naficy, Josh Kushner, Calvin Broadus Jr. (a.k.a. Snoop Dogg) and CEO Yishan Wong.
Conde Nast parent company Advance, which previously bought Reddit and spun it off, retains a board seat. It also still owns more than half the company, said a source. Meanwhile, Altman said he is relinquishing any votes associated with his shares to the Reddit management team.
"These community sites, the community has always generated the value and rarely gotten it for themselves," Altman told Re/code.
Reddit is downplaying the funding. "An investment like this doesn't mean we're rich or successful," Wong wrote in a blog post. "A couple days after we closed the financing, Sam came to our office and handed me a genuine 100 trillion dollar Zimbabwean note, as a reminder to us of the difference between money and value. Money can become worthless very quickly, value is something that is built over time through hard work."