REPORT: Reddit Is Raising Funding At A $500 Million Valuation

Reddit is reportedly raising new money at a valuation topping $500 million, Re/code said on Monday.

According to Re/code: "Sources said the almost-anything-goes site has reached a preliminary agreement to sell less than 10 percent of the company for more than $50 million."

Investors in the new funding round are rumored to include the site's founder Alexis Ohanian, Andreessen Horowitz, Sequoia Capital, and individuals connected to Y Combinator.

Sources who spoke to Re/code about the investment claimed that Advance Publications, the Condé Nast parent company, will continue to own around 50% of Reddit.

Reddit has been mired in controversy recently over its involvement with the spread of stolen nude celebrity photos that emerged after a widespread iCloud hack. The site had avoided clamping down on communities and users sharing the images via the site, but acted on Saturday to ban the "Fappening" subreddit that had served as a hub for users to post the stolen photographs.