Reddit deliberately portrays itself as unwise in how it manages its finances. It's a key part of their corporate image. If any of the investors didn't know this

Reddit deliberately portrays itself as unwise in how it manages its finances. It's a key part of their corporate image. If any of the investors didn't know this, they didn't do any due diligence. Companies wasting money isn't an unusual theme, either. Even on the days I've been happiest in my employment, I could probably name you a half dozen ways in which I believed the my employer(s) were spending unwise amounts of money on things they shouldn't be.