The community declared the “death” of Friend.Tech

Less than three weeks after launch, the trading activity of the new Web3 social network Friend.Tech plummeted. Market participants announced the “death” of the project.

Data: X.

According to DeFi Llama, on August 21, the fees in the protocol peaked at $1.7 million, but already on August 26 they fell by more than 87% to $215,000.

The number of Friend.Tech operations also dropped by more than 90%, from 525,000 to 51,000, according to Dune’s dashboard.

The number of active buyers and sellers has also plummeted, from a high of 5,500 users to 550 at the moment.

Buyers and sellers Friend.Tech. Data: Dune.

In addition, the inflow of funds decreased from $16.8 million to $1.6 million – by almost 90.5%.

Influx of Friend.Tech funds. Data: Dune.

Friend.Tech launched on August 10 on the Base 2 Ethereum network, backed by the Coinbase exchange. It is a decentralized social platform integrated with X (formerly Twitter) that allows the tokenization of member profiles.

According to Coinbase risk manager Lisandro Rodriguez, the platform is “dead” due to “greed and poor execution.” He also highlighted the problems of bots and widespread fraud.

Data: X.

“By the way, Friend.Tech was a really cool idea to give people the opportunity to interact with celebrities. It was a way to create an inner circle where the user could buy access and connect with their favorite authors. However, the structure of the platform ultimately led to its demise,” added a Coinbase spokesperson.

Recall that in July, the Bluesky project – a decentralized alternative to X, supported by the co-founder and ex-CEO of the social network Jack Dorsey – closed a seed round of financing in the amount of $8 million.

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