Friend.tech has relinquished control of certain smart contracts by transferring them to a null address, a decision that is irreversible.
Stay in the know on crypto by frequently visiting Crypto News Today
The cryptocurrency token associated with the social media platform friend.tech has experienced a significant decline following the decision by its team to transfer the administration and ownership of its smart contracts to Ethereum’s null address. This action effectively removes any control the team had over these contracts on a permanent basis.
On September 8, the team announced that this transfer was executed to ensure that there would be no future alterations to the platform’s fees or functionalities. This statement was shared on X, emphasizing their commitment to maintaining the current structure of the platform.
In the wake of this transfer, the value of the platform’s token, FRIEND, has fallen sharply, recording a nearly 26% decrease within a 24-hour period, bringing its price down to $0.067, as reported by CoinGecko. This substantial drop reflects the market’s reaction to the loss of administrative control over the platform’s smart contracts.
The null address in Ethereum serves as a designated burn address, specifically intended for the deliberate elimination of tokens. Any tokens dispatched to this address are permanently lost, with no possibility of recovery or reuse for those assets.
Serpin Taxt, a developer associated with the blockchain reputation protocol Ethos, expressed on X that the recent developments concerning friend.tech mark the conclusion of a significant era, stating that the situation unfolded in a manner he had not anticipated.
This alteration in the smart contract occurs three months following friend.tech’s announcement regarding the creation of its own blockchain, dubbed “Friendchain.” This decision has left the community in a state of uncertainty regarding the future trajectory of the protocol.
The X account associated with Friend.tech subsequently removed its announcement post, contributing to the prevailing uncertainty among users. This action has led to increased speculation and confusion regarding the platform’s intentions and future developments.
Tensions between the Friend.tech team and its user base escalated as numerous individuals reported problems related to the highly anticipated FRIEND airdrop that took place in early May. These complaints have highlighted a growing disconnect between the platform’s promises and the actual experiences of its users.
The FRIEND token experienced a remarkable surge, achieving a market capitalization of $233.6 million within just four days of its launch; however, this figure has since plummeted to a mere $6.3 million. Additionally, the total value locked in Friend.tech has dramatically decreased from its peak of $52 million in early October 2023 to below $3.5 million, according to data from DefiLlama.
Since late July, the daily earnings generated from the protocol have persistently remained under $1,000, paralleling a notable decline in FRIEND trading volume. This trend indicates a significant downturn in both the financial performance of the protocol and the trading activity associated with FRIEND tokens.
Friend.tech operates on the Ethereum layer 2 Base, providing creators with the opportunity to monetize their content via tokenized shares, commonly referred to as “keys.” Competing platforms in this space include the Theta Network, Hive, and Decentralized Social, each offering alternative methods for content monetization and engagement.
We hope you found this article insightful. Before you go, please consider supporting CryptoCaster’s independent journalism.
In the world of media owned by billionaires like Elon Musk, Larry Fink (BlackRock), and Jamie Dimon (JP Morgan Chase), influence over narratives surrounding cryptocurrency and Web3 often reflects their interests. CryptoCaster is different. With no billionaire backers or shareholder obligations, we are committed solely to public interest journalism, covering crypto advancements and institutional changes without profit-driven motives.
Unlike much of mainstream media, which can fall into neutrality traps that obscure the real impacts on retail investors, we’re guided by transparency and integrity. We are unafraid to take a stand in the ongoing struggle against fiat banking dominance and in support of the monetary innovation driven by crypto and Web3. Reporting on issues like FTX, Binance, and Ripple, we bring a bold, unfiltered outsider’s view on global financial disruption—free from the constraints of traditional media narratives.
CryptoCaster remains paywall-free, accessible to everyone, thanks to the support of readers like you. Your contributions keep us independent and help ensure that critical information on the crypto landscape reaches all. If you value our work, please consider supporting us with a one-time contribution starting at just $1 in Bitcoin or Ether, or even monthly if you’re able. Scroll down to find our wallet addresses and help keep CryptoCaster independent and thriving.
Thank you for your support,
Kristin Steinbeck
Editor, CryptoCaster
Please Read Essential Disclaimer Information Here.
© 2024 Crypto Caster provides information. CryptoCaster.world does not provide investment advice. Do your research before taking a market position on the purchase of cryptocurrency and other asset classes. Past performance of any asset is not indicative of future results. All rights reserved.
Contribute to CryptoCaster℠ Via Metamask or favorite wallet. Send Coin/Token to Addresses Provided Below.
Thank you!
BTC – bc1qgdnd752esyl4jv6nhz3ypuzwa6wav9wuzaeg9g
ETH – 0x7D8D76E60bFF59c5295Aa1b39D651f6735D6413D
CRYPTOCASTER HEATMAP
