That’s a good question, potato in my anus! Honestly, I don’t know why the comminity is called that way. My personal rule is that if a meme takes more than 196 seconds to think up and make, it is either too good or too bad for the community, and should not be posted here.
It's because the original subreddit, 195 was created by some guy in college sharing memes with his roommates. The room number of his dorm was 195 so they named the sub 195. Eventually it grew to a point where the original owners could not moderate it so it was shut down. Offshoots of it started appearing afterwards with 196 being one of the biggest ones.