Likely, the sort of people that could be incentivized by a scheme of the sort are those that are either meritless or barely earn any merits. Very likely, those that frequently do report get merited through their posts, and a few stray merits every now and then will not really bring any joy to their meriting habits. As already said, it could lay the basis for intended post/reporting, or enhance reporting in mass old posts or posts in areas where nobody really cares about.

If anything, I’d make the rolling 30 day window report status list available at a lower threshold, or none at all (i.e. eliminating the 300 report requirement), as I find that is a rather useful tool to understand what gets marked as good and what doesn’t at a personal scale.