So, if you buy shares from someone who has just 1 or 2 shares and quickly sell them, you might end up losing a good part of your money. In place of a fixed rate, the cost for the subsequent share of an individual is determined via a quadratic bonding curve rooted in their current share count. Hence, the main thing that changes the price is how many of these shares are available. Given the hype around Friend.tech, people are cautious but want to get involved, and crypto industry leaders have praised Friend.tech network’s advancements.
Friend.Tech exemplifies a novel approach towards social interactions by tokenizing social credibility. This not only gamifies social engagement but also introduces a marketplace dynamic where interactions bear financial value. As of today, friend.tech boasts a cumulative ETH volume of 21,477 ETH, fostered a community of over 100k users, and facilitated close to 1.9m transactions. This resulted in total fees reaching 378 ETH, out of which 189.1 ETH found its way to the protocol, and an equal amount was distributed.
Whether the hype is sustainable or not, Friend.tech’s decentralization, privacy, emphasis on authenticity, and diverse content options make it a unique and promising player in the social media world. Decentralized social media has a key part to play in Web3 and the wider internet, but it seems most opportunities and ideas remain limited to those already in the world of crypto. Friend.tech protocol has witnessed significant activities since its (invite-only) beta version launched on August 11, 2023. Eight days later, on August 19, 2023, Friend.tech announced that it had secured seed round funding from crypto venture capital firm Paradigm. This news sparked speculation about the possibility of an airdrop and a potential token launch in the future. Trading of a user’s shares generates a sales tax, which is distributed to the specific user.
However, it is crucial to mention that the Friend.tech protocol imposes a 5% transaction fee, and the owner earns profit from the trade spread. Within just a day, friend.tech has amassed more than 8.5K users and generated more than 3.2K ETH in trading volume from the trading of user shares. With the anticipation of the $FRIEND token airdrop and the Version 2 upgrade, the platform is attracting a surge of users keen on maximizing their points to qualify for valuable governance tokens. While engaging with Friend.tech, users should be mindful of privacy risks and implement recommended security measures. These steps will prepare you to explore and engage with the innovative features Friend.tech offers on the decentralized social media landscape.
A leaked database shows that more than 101,000 users have signed up since the invite-only beta version of the app launched on Aug. 10. Their Twitter bio “Your network is your net worth,” encapsulates the idea behind friend.tech. Friend.tech essentially allows anyone on the app to bet on the social worth of other users on the platform, through the purchase of shares of the other user. Each user on the app has a chat group akin to ones found on platforms like Telegram. The catch is that users must purchase keys in order to enter other users’ private chats.
Web3 Social Era Begins
- The platform, built on an EVM-based layer 2 and leverages smart contracts, ensures a secure environment for transactions and interactions.
- For iOS users, your device will have to be updated to the latest version for this to work.
- As the ecosystem continues to grow and innovate, social interaction is poised to become the next explosive area for Web3 user growth.
- It connects the price of the user’s KEY to the market supply and demand relationship, which means that the more popular the user, the higher the price of their KEY.
- This design aims to encourage users to actively participate in the platform and provide a long-term incentive, aligning with Paradigm’s overall strategic direction for the project.
When users enter the application, they can see the currently most popular users on the homepage. They can also search for users they are interested in by using the explore button and purchase their KEY. The initial price of each user’s KEY is determined based on Twitter data, and there is no limit to the supply of KEYs. It connects the price of the user’s KEY to the market supply and demand relationship, which means that the more popular the user, the higher the price of their KEY. The surge of decentralized social media represents a transformative phase in mass social interactions.
Regularly monitor hashtags like #FriendTechInvites on social media platforms. As the platform grows and more users interact by buying and selling keys, it creates a form of social economy where users can potentially profit from their social interactions and content. When you invest in someone’s account on friend.tech, the rewards transcend financial gain; they unlock a private realm where ideas, insights, and strategies flow freely.
Crypto platform Friend.tech, launched in August 2023, has some enthusiastic supporters hailing it as the first real success story in the social crypto space. In the first two weeks after its launch, the platform reportedly gained more than 100,000 users and made about $25 million. This was followed by reports of its early demise, which was in turn followed by a sudden surge in popularity. There’s a new trend in Base, the second-layer solution built by Coinbase COIN to help scale Ethereum ETH . Coinbase’s chain reached a historic record of 15.88 transactions per second on August 21, according to l2beat data. The total value locked under Friend.tech is now over $6 million, according to DeFiLama data.
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In addition to this, according to data from Defi Llama, Friend.tech has generated $6.64 million in fees since its beta launch. Upon signing up, a wallet is created for your account, where users will have to transfer any amount of ETH to the wallet in order to access the app. Do note that as friend.tech is still a very new app, do not transfer into the app more than you are willing to lose and exercise due diligence when interacting with the app.
Friend.tech takes this pre-existing aspect of Twitter and fleshes it out with a set of standardized crypto platform what is a pro forma operating budget features, including airdropped rewards, fee sharing, and more. Like many other recent social media platforms, it requires that users have an invite code in order to join. This has helped to contribute to a highly competitive landscape in which eager would-be adopters search for codes, helping to promote the platform in the process. Users looking to get onto Friend.tech should access the site of the same name from a phone browser, which will allow them to add the app to their phone.
The pricing model shows exponential growth
The reminiscence of an old project, BitClout, comes to mind when thinking about friend.tech. Back in 2021, BitClout garnered significant attention initially, but eventually, negative sentiments spread due to a lack of transparency, leading to a decline in its popularity. If there’s anything to know about the crypto space, it would be that it is a world where information is both highly sought and valued. Additionally, Legendary, a pseudonymous Web3 marketer, shared a bearish prediction about the longevity of Friend.tech, drawing parallels to BitClout, a DeSo app from 2021. Our platform earns commissions through partnerships and sponsors, which is how we support our analyst.
What Is Friend.tech? The Hottest New Social App on Base
The ingenious deployment as a Safari-based mobile app bypasses the gatekeepers of centralized app stores, ensuring frictionless access for all. The foundation of friend.tech’s growth, intriguingly, can be traced back to a simple action — the “buy share” function that comes at zero cost. Every time a user mints their own share, the platform gains a new member. The last four days alone have witnessed an impressive upswing, with user numbers soaring by ~120%. When there aren’t many shares out there, this difference as a percentage of the selling price is quite big.
The platform empowers users to tokenize their identity by selling and buying keys (previously known as shares) of themselves to their followers. An added incentive for participants in the Friend.tech ecosystem is that users classified as “creators” (as opposed to “followers”) see key prices increase as their networks grow larger. This obviously benefits creators by providing them more rewards in the form of fees.
Once you’ve acquired an access code, you will have to sign up using an email or a phone number, and then link your Twitter profile to the application. Your Twitter profile will serve as the public facing profile on friend.tech. The core feature of Friend.tech is that users can purchase a KEY from KOLs and then communicate with them and gain the benefits bestowed by the KOLs. Currently, the functionality is relatively limited, only allowing users to have friends and join group chats, without the ability to send or receive pictures, videos, and so on. On the homepage, users can see the most popular users at the moment, and they can also manually search for users they want to follow and purchase their KEYs. By holding someone’s KEY, users can enter the chat room of that user, and if the KEY is sold, they will be automatically removed.
But it also benefits their followers if they choose to sell their keys, assuming they have appreciated in value since the time they first purchased them. Friend.tech is a decentralized social media platform that wants to redefine how we engage with content, interact with influencers, and gauge the worth of insights. Friend.tech attracts crypto enthusiasts seeking engagement with Crypto Twitter figures. Beyond a mere social platform, friend.tech is a paradigm shift, a high-signal information aggregator fueled by the discerning judgments of its participants. The concept of Friend.tech is similar to the ownership principle of the stock market, in which having shares means having a stake in a specific company.