Friend.tech, the decentralized social media platform, has seen a sudden surge in its Total Value Locked (TVL). The Friend.tech TVL doubled in just four days, crossing the $20 million mark. Only two weeks ago, skeptics had prematurely called the platform ‘dead’ because of what they perceived as a decline in user activity.
Friend.tech, however, has experienced a notable resurgence in user engagement recently. On September 9th, it recorded a daily trading volume of $12.3 million. This figure stands as the third-highest ever recorded, according to data from Dune Analytics. It vividly illustrates the platform’s revival.
Additionally, as astutely pointed out by the pseudonymous account TylerDidIt, on September 9th, Friend.tech’s trading volume outpaced that of OpenSea. Impressively, it exceeded the NFT giant by a staggering $3 million in just one day.
Friend.tech TVL Soars: A Closer Look
The enigmatic crypto figure, known as Herro, holds the fourth-largest account on the platform. They recently shared insights with Cointelegraph, expressing a belief that Friend.tech will continue to hold its presence. This is anticipated to be the case until the imminent launch of a Friend.tech token, expected in approximately five months.
Additionally, Herro anticipates that Friend.tech (FT) will remain viable until the introduction of a token in approximately five months.
They stress that the platform’s future hinges on various factors. These factors encompass the team’s capacity to lower fees, enhance content creators’ earnings, and draw in individuals who are not typically involved in the world of cryptocurrencies.
While pinpointing a singular cause for the platform’s resurgence proves elusive, several luminaries within the crypto industry have posited their own theories.
Hsaka, a well-known trader, playfully suggested that the Total Value Locked (TVL) experienced a surge. He jestingly remarked that users might have recognized that Friend.tech’s chats essentially served as ‘yield farms in disguise.’ This comment hints at the potential for profit arising from the 5% fee imposed when users buy or sell another user’s ‘key’.
Another potential catalyst behind the resurgence of Friend.tech’s activity could be attributed to something else. Specifically, it’s the recent influx of non-crypto personalities joining the platform. This influx notably includes several noteworthy YouTubers and OnlyFans creators.
Friend.tech’s Evolution and Challenges: From Inclusivity to Technical Struggles
PancakesBrah, the anonymous individual responsible for Friend.tech’s growth and business development, emphasized that the platform caters to a broader audience. Furthermore, it extends its reach beyond the realm of typical crypto enthusiasts.
This highlights the platform’s inclusive approach and its intention to engage a diverse user base. Furthermore, the platform has introduced numerous updates aimed at enhancing user experience and functionality.
Initially plagued by technical glitches and assorted errors, the platform has introduced a suite of novel features. These include the capability to upload images, credit card-enabled payment options, and new sections designed to facilitate diverse forms of user interaction.
Friend.tech embarked on its journey within Coinbase’s layer-2 ecosystem on August 11th, rapidly accumulating a staggering $5.9 million in fees within the span of just ten days.
Subsequently, however, user activity stagnated, with daily fees plummeting by 87% and transaction volume dropping by 90% over the ensuing week. This downturn led some to prematurely proclaim the platform’s demise.
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