Reddit raises $250 million in funding, valuation doubles to $6 billion

Reddit has raised $250 million in Series E funding from existing and new investors, amid renewed attention for the role in one of its communities — wallstreetbets — in the recent US stock market frenzy.

The funding round, led by venture capital firm Vy Capital, saw Reddit’s valuation double to $6 billion, according to The Wall Street Journal. Other Reddit investors include Andreessen Horowitz, Sequoia Capital and Tencent.

The “social news website”, which claims to have more than 50 million daily active users, plans to use the funds raised to make strategic investments in areas such as video, advertising, consumer products and international expansion. The proceeds will also be used to double its employee headcount this year, the company said.