Friend.Tech, a platform known for allowing users to trade tokens for access to influential individuals' feeds, faced a major setback as its developers transferred ownership of the platform's smart contracts to Ethereum’s null address.
Revocation of Control
Friend.Tech's decision to revoke ownership of its smart contracts has generated significant confusion and concern within the community. The developers stated that this move is intended to prevent any changes in fees or functionality. According to an announcement, no fees from the smart contracts or the website will be directed to the team's multisig wallet.
Platform Performance and Market Reaction
Initially, Friend.Tech garnered significant attention for its innovative approach to monetizing content through tokenized shares or 'keys.' However, it struggled with multiple issues over time. User dissatisfaction increased following issues with the FRIEND airdrop in May, and daily fees earned from the protocol dropped below $1,000 since late July. The token FRIEND’s value has dramatically decreased, falling nearly 52% in the past 24 hours, and its market cap has dropped from $233.6 million to $909k.
Confusion Over Future Developments
Friend.Tech had previously announced plans to develop its own blockchain called 'Friendchain,' adding another layer of uncertainty. However, this announcement was later deleted from its X account. This revocation of control comes amid a broader trend of declining user engagement on decentralized social media platforms.
Friend.Tech faces significant challenges and its future remains uncertain. The platform has seen a drop in user interest and disruptions in developing new features, reflecting broader trends in the decentralized social media sector.
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