The value of the FRIEND token, native to the decentralized social network Friend.tech, has seen a major drop.
The downturn followed comments from Racer, the protocol’s co-founder, who suggested moving the project away from Base, the Ethereum Layer-2 network created by Coinbase.
Racer offered $200K for anyone who could find an effective way to move Friend.tech off the Base network without significant user disruption.
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Racer noted that misunderstandings by Farcaster investors at Friend.tech’s launch led to tension with the Base community. This situation caused the team to feel isolated and disconnected from parts of the Base and Ethereum ecosystems.
Racer’s comments led to a nearly 30% drop in the value of the FRIEND token.
Jesse Pollak, the creator of Base, acknowledged these issues and expressed his support for Friend.tech’s decisions.
Despite this setback, Friend.tech, launched on August 10, 2023, remains one of the leading decentralized applications (dApps) on the Base network. The platform’s model, which converts user influence into tradable tokens known as “keys,” has drawn interest from crypto influencers, NBA players, and esports personalities.
However, the platform has previously faced challenges, including privacy concerns about potential user doxxing due to the link between Twitter profiles and Ethereum addresses. Friend.tech has responded by clarifying that the alleged leaked information was accessible via their public API.
Overall, the drop in the value of the FRIEND token highlights Friend.tech’s tensions with the Base community, despite the platform’s continued popularity and unique model.
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