Friend.Tech, a social platform known for its token trading model, faced major changes when its developers transferred control of the smart contracts to Ethereum's null address on September 8, effectively locking the system.
Revocation of Control
Friend.Tech’s decision to transfer the control of its smart contracts to a null address generated significant concern within the community. This move ensures no further changes can be made to the platform, including to its fees or functionality.
Platform Performance and Market Reaction
Initially built on Ethereum’s layer-2 Base, Friend.Tech garnered attention for its innovative approach to monetizing content through tokenized shares or 'keys.' Despite early success, the platform struggled with various issues. User dissatisfaction increased following problems with the FRIEND airdrop in May, resulting in daily fees earned from the protocol dropping below $1,000 since late July. Trading volume also saw a substantial decline. The platform's token, FRIEND, has experienced a dramatic decrease in value, falling nearly 52% to $0.067 in the past 24 hours. The token’s market cap, which reached $233.6 million within the first four days of its launch, has plummeted to $909k.
Confusion Over Future Developments
Friend.Tech had previously announced plans to develop its own blockchain 'Friendchain,' adding another layer of uncertainty. However, this announcement was later deleted from their X (formerly Twitter) account. The revocation of control comes amid a broader trend of declining interest in decentralized social media platforms.
Friend.Tech, along with platforms like Farcaster and Lens Protocol, once promised to revolutionize social interactions through blockchain technology. However, user interest in these platforms has sharply declined in recent months. This decision by Friend.Tech raises questions about the future development of the platform and the future of decentralized social networks as a whole.
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