• Advertise
  • Submit a Press Release
  • About Us
NewsBTC
Bitcoin & cryptocurrency news
Sensei Inu Logo
  • News
    • Bitcoin
    • Ethereum
    • Cardano
    • Dogecoin
    • Ripple
    • DeFi
    • NFT
    • Sponsored
    • Press Releases
    • Research
    • Gambling
      • Crypto Casinos
      • Real Money Casinos
    • Casinos not on Gamstop
  • Analysis
    • Bitcoin (BTC)
    • Ethereum (ETH)
    • Cardano (ADA)
    • Chainlink (LINK)
    • Litecoin (LTC)
    • Tezos (XTZ)
    • Zcash (ZEC)
    • EOS
    • YearnFinance (YFI)
  • Learn
    • Trading Course
  • Directory
    • Crypto Businesses
    • Bitcoin Brokers
    • Casinos
    • Sportsbooks
    • Categories
  • Events
  • Play GamesTry
  • Win 8.88 BTCTry
  • Play Casino GamesTry
  • Play FinanceTry
No Result
View All Result
Breaking News: Fed Holds Interest Rates Steady, Bitcoin Awaits Trend Reversal Above $27,000
  • News
    • Bitcoin
    • Ethereum
    • Cardano
    • Dogecoin
    • Ripple
    • DeFi
    • NFT
    • Sponsored
    • Press Releases
    • Research
    • Gambling
      • Crypto Casinos
      • Real Money Casinos
    • Casinos not on Gamstop
  • Analysis
    • Bitcoin (BTC)
    • Ethereum (ETH)
    • Cardano (ADA)
    • Chainlink (LINK)
    • Litecoin (LTC)
    • Tezos (XTZ)
    • Zcash (ZEC)
    • EOS
    • YearnFinance (YFI)
  • Learn
    • Trading Course
  • Directory
    • Crypto Businesses
    • Bitcoin Brokers
    • Casinos
    • Sportsbooks
    • Categories
  • Events
  • Play GamesTry
  • Win 8.88 BTCTry
  • Play Casino GamesTry
  • Play FinanceTry
No Result
View All Result
Bitcoin News
No Result
View All Result
Breaking News: Fed Holds Interest Rates Steady, Bitcoin Awaits Trend Reversal Above $27,000
Friend.tech
Sensei Inu Logo

Friend.tech Activity Crashes 94%, Is This The End?

Scott Matherson by Scott Matherson
1 month ago
in DeFi
Reading Time: 3 mins read

Decentralized social networks have always faced significant challenges to gain mainstream adoption. Such is the apparent case of Friend.tech, a new decentralized app that enjoyed explosive growth earlier this month. 

Just barely two weeks after its launch, Friend.tech saw its trading fees grow to rival top cryptocurrencies like Bitcoin and Tron. However, the euphoria is starting to subside, as activity and trading fees on the social media app have crashed by 94%. 

Friend.tech Records Massive Fall In Trading Activity

Friend.tech’s model had raised concerns from some crypto investors, with some arguing about its long-term viability. Their criticism has been proven to be accurate as the situation at Friend.tech has started to deteriorate. 

Related Reading: Shibarium Launch Proves Positive As Shiba Inu-Based BONE Celebrates New Milestone

Friend.tech allows users to buy and sell shares of influential accounts and social media profiles, and the platform reportedly registered over 35,000 and 4,400 ETH ($8.1 million) in trading volume in its first 24 hours. 

However, data from Dune Analytics show that trading volume has fallen since then, with less than $200,000 in fees generated in the past 24 hours. Trading activity has also been down from over 35,000 to less than 6,000 users. This has been reflected in trading costs, as revenue has decreased by more than 94% since the exchange first opened its doors.

Friendtech buyers and sellers tanking to 0

GG Friendtech? pic.twitter.com/jmXKu41KDd

— Boxmining (@boxmining) August 28, 2023

Friend.tech’s business model relied heavily on charging users a 10% fee for every buy and sell of shares. Friend.tech surpassed Bitcoin in terms of trading fees, recording almost $1.4 million in revenue during the height of the platform’s trading activity. However, data from DeFiLlama shows that trading fees are now at $160,000 in the past 24 hours.

Friend tech is dead because of greed and poor execution. We can see that after the initial influencer pump volume has fallen off a cliff. Let’s dig into how this failure came to be 👇🏾 pic.twitter.com/WDQncTQJ21

— Lisandro (@TheRealLisandro) August 27, 2023

Friend.tech also incorporates Maximal Extractable Value (MEV) bots, which are automated trading bots designed to exploit rapid price movements. Although these bots have generated over $2 million in profits, they have been credited with discouraging content creators and users.

Related Reading: Base Chain TVL Surpasses Cardano As Interest Swells

The Plight Of Decentralized Social Media Platforms

Decentralized social media have been touted to be the future of the internet. However, platforms have been faced with many challenges and have struggled to gain a firm footing in the market. One of the challenges is the expansion of the user base. Overcoming these challenges will be key to disrupting the status quo and achieving the promise of decentralized social media. 

At the time of writing, Friend.tech has a TVL of $6.4 million and has generated fees of over $7.8 million to date. But while Friend.tech is still operating, critics have likened its imminent failure to the fall of BitClout, another decentralized social media app.

Crypto total market cap chart from Tradingview.com (Friend.tech)

Total market cap struggles at $1.026 trillion | Source: Crypto Total Market Cap on Tradingview.com
Featured image from BeInCrypto, chart from Tradingview.com
Tags: DeFiETHethereumFriend.techFriend.tech fees
Tweet123Share196ShareSend
Scott Matherson

Scott Matherson

Related Posts

Mixin network crypto hack

$200 Million In Crypto Lost As Mixin Network Comes Under Attack

2 days ago
CRV Spikes 22% In 2 Weeks As Whale Withdraws From Binance

CRV Spikes 22% In 2 Weeks As Whale Withdraws From Binance

5 days ago
Coinbase BASE TVL

Coinbase’s BASE Shows Teeth As TVL Nears Solana

1 week ago
Curve CurveDAO CRV

Curve (CRV) Trading Volume Plunge 97% In 2 Months

2 weeks ago
Perpetual Protocol PERP Binance

PERP Spikes 90%, Perpetual Protocol Foundation Sends Tokens To Binance: Is This Good

3 weeks ago
No Vitalik, No Problem: Whale Sells Ethereum (ETH) For Maker (MKR)

No Vitalik, No Problem: Whale Sells Ethereum (ETH) For Maker (MKR)

3 weeks ago

Premium Partners

Play Finance

Top Casinos

BitStarz

BitStarz

Review · Visit
Punt Casino

Punt Casino

Review · Visit
Trust Dice

Trust Dice

Review · Visit
mBit

mBit

Review · Visit

Press Releases

  • Solana Defies Price Fears, Bitcoin Spark Leads ICO...

    2 hours ago
  • Mercante Technologies to Launch AI-Powered Customer Support...

    3 hours ago
  • Expert Reviews Of IBKR vs eToro And The Promising Broker...

    8 hours ago
  • Meta Force by Lado Okhotnikov Launches SWAP: Secure and...

    21 hours ago
  • Solana Remains Stable, Bitcoin Cash, and Borroe.Finance...

    1 day ago

About Us

NewsBTC is a cryptocurrency news service that covers bitcoin news today, technical analysis & forecasts for bitcoin price and other altcoins. Here at NewsBTC, we are dedicated to enlightening everyone about bitcoin and other cryptocurrencies.

We cover BTC news related to bitcoin exchanges, bitcoin mining and price forecasts for various cryptocurrencies.

Cryptocurrency news

  • Bitcoin
  • Ethereum
  • Ripple
  • Chainlink
  • Cardano
  • EOS
  • Tezos

Technical Analysis

  • Bitcoin (BTC)
  • Ethereum (ETH)
  • Ripple (XRP)
  • Chainlink (LINK)
  • Cardano (ADA)
  • Tezos (XTZ)

Company

  • Advertising
  • Comments Policy
  • Privacy Center
  • Sitemap
  • About Us
  • Contact

© 2023 NewsBTC. All Rights Reserved.

  • News
    • Bitcoin
    • Ethereum
    • Cardano
    • Dogecoin
    • Ripple
    • DeFi
    • NFT
    • Sponsored
    • Press Releases
    • Research
    • Gambling
      • Crypto Casinos
      • Real Money Casinos
    • Casinos not on Gamstop
  • Analysis
    • Bitcoin (BTC)
    • Ethereum (ETH)
    • Cardano (ADA)
    • Chainlink (LINK)
    • Litecoin (LTC)
    • Tezos (XTZ)
    • Zcash (ZEC)
    • EOS
    • YearnFinance (YFI)
  • Learn
    • Trading Course
  • Directory
    • Crypto Businesses
    • Bitcoin Brokers
    • Casinos
    • Sportsbooks
    • Categories
  • Events
  • Play Games
  • Win 8.88 BTC
  • Play Casino Games
  • Play Finance

© 2023 NewsBTC. All Rights Reserved.

This website uses cookies. By continuing to use this website you are giving consent to cookies being used. Visit our Privacy Center or Cookie Policy.