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Intercontinental Exchange (ICE) has announced a partnership with social media platform Reddit to develop new data analytics products for financial markets, utilising Reddit's vast repository of user-generated content.
The agreement will allow ICE to access Reddit's Data API to create products that could be used for sentiment analysis, trend identification and portfolio management. Reddit currently hosts approximately 97 million daily active unique users across more than 100,000 active communities.
Reddit, often referred to as "the front page of the internet," was founded in 2005 by University of Virginia roommates Steve Huffman and Alexis Ohanian. The platform allows users to participate in discussions across a huge array of topics within its 100,000+ active communities. Initially acquired by Condé Nast in 2006, Reddit became an independent subsidiary under Advance Publications in 2011. After years of anticipation, Reddit went public on March 21, 2024, with an IPO priced at $34 per share, valuing the company at approximately $6.4 billion. Since then, its market capitalisation has grown significantly, reaching around $28.6 billion as of early 2025, showing strong investor confidence in strategic growth initiatives such as the one announced today with ICE.
Jonathan Flesher, VP Business Development and Partnerships at Reddit, said: "The conversations that take place on Reddit on any given day or any given minute can offer a real-time look at the news and trends that are happening around the world. These conversations could be a valuable tool for commercial partners such as ICE to offer new products to their customers to help improve and inform trading strategies or algorithms, or understand public sentiment of markets as they are happening in real time."
The collaboration aims to harness ICE's data science capabilities to analyse Reddit's extensive user discussions, which include posts, comments, videos and audio content. The resulting products could potentially be used for portfolio optimisation, algorithmic trading, event-driven strategies and risk management.
Chris Edmonds, President of Fixed Income and Data Services at ICE, said: "The rich data set that flows across a platform like Reddit has the potential to provide opportunities for our customers as they look for new opportunities in global markets. We look forward to leveraging our deep experience with alternative datasets to create products and services utilizing Reddit's Data API that can help give our customers valuable insights into the markets and also help them manage risk across their portfolios."
The move reflects growing interest from financial institutions in leveraging social media data for market insights, following instances where retail investor discussions on platforms like Reddit have significantly influenced market movements. ICE, which operates multiple exchanges including the New York Stock Exchange, has been expanding its data analytics offerings across different market segments.
Neither company disclosed financial terms of the agreement or specific timeline for product launches.
