Friend.tech TVL Surges to $20M, Defying Critics’ ‘Dead’ Label
The decentralized social media platform, Friend.tech, has experienced a sudden spike in its total value locked (TVL), doubling to over $20 million in just four days. This surge comes as a surprise to many, considering that just two weeks ago, critics declared the platform to be “dead” due to dwindling activity on the app.
However, Friend.tech has recently experienced a significant resurgence in activity, with the app recording $12.3 million in daily trading volume on September 9th – the third-highest ever, according to data from Dune Analytics.
On September 9th, the trading volume on Friend.tech surpassed that of OpenSea, surpassing the NFT platform by more than $3 million in a single day.
FriendTech trading volume was $12.3M yesterday.
Total NFT trading volume on ETH was just $9.15M. pic.twitter.com/CbqVYqP5PQ
– TylerD ?? (@Tyler_Did_It) September 10, 2023
While the exact reason for this surge remains unknown, industry experts have proposed some theories. Notably, prominent trader Hsaka jokingly suggested that TVL doubled after users realized that Friend.tech chats were essentially “yield farms rebranded,” referring to the potential earnings from the 5% fee when users buy or sell someone’s “key.”
Another possible factor contributing to the resurgence of activity on Friend.tech is the recent influx of non-crypto influencers joining the platform. Many popular YouTubers and OnlyFans creators have joined in recent weeks, signaling that Friend.tech is not exclusive to crypto enthusiasts.
I love to see stuff like this bro, @sleepdiplomat just joined, which hammers home the point some people don’t get, this isn’t an app for just crypto bros, every vertical can find value on friend tech, everyone bro pic.twitter.com/c7EpuGQtDt
– Pancakesbrah (actually Based) (@Pancakesbrah) September 10, 2023
The app has also introduced several updates to enhance user experience and functionality. Overcoming initial bugs and technical errors, Friend.tech now allows users to upload photos, enables credit card purchases, and provides new sections for viewing different types of activity.
Friend.tech launched on Coinbase’s layer-2 Base on August 11th and generated an impressive $5.9 million in fees within its first ten days. However, user activity subsequently declined, with daily fees plummeting by 87% and transaction volume dropping by 90% over the following week. This decline led some to prematurely deem the platform “dead.”
Reasons Behind Friend.tech’s Resurgence
Despite being written off by critics, Friend.tech has made an astounding comeback, defying all odds. Several factors contribute to this notable resurgence:
- The realization that Friend.tech chats are essentially yield farms rebranded, offering potential earnings for users.
- The growing presence of non-crypto influencers, such as YouTubers and OnlyFans creators, who have joined the platform, making it more diverse and appealing to a wider audience.
- Significant updates and improvements made to the app, including the ability to upload photos, credit card purchases, and enhanced sections for different types of activities.
Debunking the “Dead” Label
Despite experiencing a decline in activity shortly after its launch, Friend.tech has proved its resilience and potential for growth. This resurgence serves as a powerful reminder that prematurely labeling a platform as “dead” can be misleading and inaccurate. Friend.tech has shown that with the right tweaks and a diverse user base, a seemingly struggling project can make an impressive comeback.
Editor Notes: Friend.tech’s Unexpected Comeback
Friend.tech’s recent surge in TVL and trading volume is a testament to the ever-evolving nature of the crypto industry. This comeback story highlights the importance of not dismissing projects prematurely and the potential for unexpected turnarounds. Crypto enthusiasts should stay vigilant and open-minded, as even seemingly stagnant projects can have a remarkable resurgence. To stay updated on the latest happenings in the crypto world, visit Uber Crypto News.