The rapid fall of Friend.tech: Critics declare the platform “dead” cryptoforbs

Friend.tech has been making a lot of noise in the past few weeks. However, the decentralized social media platform has now seen a rapid decline in activity. So, what is Friend.tech, and has it expired? Let’s take a closer look.

• Friend.tech, a decentralized social platform, allows users to monetize communities using blockchain technology. It provides “keys” linked to social accounts, allowing access to private chats and exclusive content, sparking interest in Web3 adoption.
• The platform’s rapid decline in activity, flows and volume within three weeks of launch is causing doubts. Inflows decreased by about 90.5%, while the numbers of buyers, sellers and transactions decreased. Privacy and regulatory concerns raise doubts about sustainability.
• Friend.tech must restore trust, redefine value, and differentiate from previous platforms. Overcoming skepticism depends on addressing issues transparently, clarifying intentions, and defining a unique path to success in a competitive, decentralized social landscape.

What is a technology friend?

On August 11, Friend.tech launched its beta version on the layer-2 Coinbase platform. Friend.tech is a token-based social platform. The platform leverages blockchain technology to empower its users. Therefore, through the platform, individuals, brands and businesses can monetize their online communications.

As such, Friend.tech was seen as a major catalyst for Web3 adoption. Creators are already monetizing their work through apps like Patreon and paid newsletters. However, with Friend.tech, creators can now monetize their fan base by allowing users to buy and sell “keys.” These keys give access to private chat rooms and exclusive content linked directly to the content creator’s social media accounts, such as X (Twitter). Therefore, creators can receive private messages from fans who hold “keys.” Friend.tech is also invite-only, which adds exclusivity and competition.

However, despite the initial excitement, Friend.tech is now under intense scrutiny. The platform has seen a rapid decline, and this decline has raised previous concerns about the platform’s viability and true intentions.

What happened to Friend.tech?

Originally, Friend.tech appealed to crypto and non-crypto influencers, including Faze Banks and Pussy Riot. Now, just three weeks after launch, Platform It saw a significant decline in activity, flows and volume. In fact, CoinTelegraph reported a roughly 90.5% drop in inflows – from $16.8 million on August 21 to $1.6 million on August 27.

Plus, it’s not just money that’s down. The number of buyers, sellers and transactions on the platform has also declined, casting doubt on its sustainability. Furthermore, Friend.tech has been plagued by privacy policy concerns and regulatory issues, adding to the doubts surrounding its true nature.

So, while the platform’s initial launch saw significant interest and engagement, its rapid decline raises questions about its future trajectory and whether it is a case of genuine innovation or another example of short-term greed to make quick profits. As Friend.tech overcomes these challenges, it becomes necessary to address concerns, regain user trust, and redefine its value proposition to avoid the pitfalls of previously promoted platforms.