Pseudonymous crypto trader and influencer Machi Big Brother has suffered significant losses investing in the SocialFi project called Friend.Tech.
Machi Big Brother's Losses
On-chain tracking platform Lookonchain highlighted the popular trader’s losses in a Sept. 9 post on X. In total, Machi Big Brother spent around 5.2K Ethereum (ETH) worth $16.7 million to purchase 11.1 million FRIEND tokens. At the time of Lookonchain's post, the total dollar purchase of this investment stood at $0.7 million.
Reaction and Recovery
Despite the losses, FRIEND tokens have soared over 61% in the past 24 hours, enabling Machi Big Brother to recover some of the losses. The token traded at $0.0986 as of 3:33 a.m. EST, pushing the dollar amount of the trader’s FRIEND position to over $1 million. However, the crypto is still in the red by more than 90% on the yearly timeframe.
Changes in Friend.Tech
FRIEND’s price plummeted following a series of decisions from the project’s team. Most notably, it chose to abandon control of the token’s smart contract, which came within just a year of its launch. On Sept. 8, the project’s management transferred control of their smart contract to the Ethereum null address. This has removed any possibility of the team regaining control of the contract to fix any bugs or introduce additional features on the platform in the future. The team attempted to reassure investors that it has no plans “to shutter or discontinue” the project’s web app. Instead, the team said that it transferred ownership to the null address so that the team can’t raise or create new fees in the future.
Pseudonymous crypto trader Machi Big Brother faced significant financial losses investing in the Friend.Tech project. Despite a temporary recovery in token value, the project's future remains uncertain.
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