Image Credits: CryptoAvanza
- Friend.tech, a decentralized social network, has generated $1 million in fees in just one day.
- Surpassing established players like Uniswap and Bitcoin.
- The platform allows users to turn their social connections into tradable “shares” with a 5% fee.
In a stunning achievement, the newly launched decentralized social network Friend.tech managed to generate an impressive $1 million in fees in just one day, on August 19th. This accomplishment outshone even well-established players in the cryptocurrency arena, including giants like Uniswap and the Bitcoin network.
The platform, which made its debut as a beta version on August 11th, brings a fresh and innovative concept to the table. It empowers users to turn their social connections into tradable “shares,” granting those who own these shares the privilege to send private messages to one another. On this platform, transactions come with a 5% fee, and the profit for the share owner is derived from the differences in trade prices.
Built upon Coinbase’s layer-2 Base, Friend.tech has been buzzing with activity. Data from DefiLlama reveals that within a mere day, Friend.tech collected $1.12 million in fees and has raked in a total of $2.8 million since its launch. Overall, the project has earned an impressive revenue of $818,620. The social platform has seen more than 650,000 transactions and has engaged over 60,000 distinct traders.
The mastermind behind this remarkable project is believed to be an individual who goes by the pseudonym Racer. Racer has a track record of involvement in developing social media networks like TweetDAO and Stealcam, both of which revolved around nonfungible tokens. With Friend.tech, Racer’s goal is to attract crypto influencers with substantial fan bases, offering them the chance to earn royalties from trading fees.
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Furthermore, the platform aims to forge stronger connections between Web3 projects, venture capitalists, and prominent figures within the cryptocurrency sphere. The excitement surrounding Friend.tech has triggered conversations about its revenue model, potential risks, and future trajectory.
According to insights from Cointelegraph, Ignas, a researcher in decentralized finance, pointed out that Friend.tech’s current business model relies solely on trading fees, rather than deriving profits from having more shareholders. Ignas, speaking on X, highlighted that this approach might lead to controversial figures earning more or even exploiting fear, uncertainty, and doubt (FUD) as a strategy to generate fees.
