Friend.tech Faces Decline in Users and Earnings

Decline in Earnings and User Engagement

Friend.tech, a decentralized social platform, has witnessed a sharp decline in earnings and daily users. Recent data highlights a significant drop of over 70% in platform fees and an 80% decrease in new users. Once a top revenue generator in decentralized finance (DeFi), Friend.tech's rapid rise to 100,000 users has been overshadowed by growing user dissatisfaction. Complaints about high trading fees, slow load times, and a steep token pricing curve are prevalent.

Shifts in User Base and Platform Ranking

Initially, Friend.tech attracted a diverse array of creators, including sports, business, and social media influencers. The platform even saw an influx of OnlyFans content creators, boosting its user base temporarily. However, by the end of last week, new user numbers dwindled to just 4,484. The platform, once second only to Ethereum in terms of fees and revenue, now ranks tenth, with daily earnings of $215,552.

Impact of Bots and Platform Manipulation

Friend.tech's activity has notably contributed to Base network traffic, largely due to bot activities. These bots have secured over 21,000 keys, reselling them for substantial profits, while also manipulating transactions that lead to higher creator fees. Such activities pose challenges to user retention and platform integrity.

Friend.tech's Innovative Model and Challenges

Launched on August 10, Friend.tech offers a decentralized social network experience, allowing users to tokenize social connections. This innovative approach enables unique interactions, such as private messaging and share acquisitions of individuals on X (formerly Twitter). Despite its initial success and endorsements from industry leaders, the platform faces scrutiny over data privacy and monetization practices.

Security Concerns and Future Prospects

Friend.tech's growing popularity has attracted hackers, though recent concerns were linked to data scraping rather than security breaches. Despite these challenges, the platform remains a focal point for discussions on decentralized social media's future, contributing to the growth of Coinbase's Base network.

Friend.tech's journey reflects both the potential and pitfalls of decentralized social platforms, highlighting the need for continuous innovation and security enhancements to sustain growth and user trust.