This revolutionary platform allows people to buy and sell “shares” of their connections, allowing the buyer to send private messages to the share’s owner.
In a remarkable turn of events, Social app Friend.tech has captured attention by generating protocol fees of $1.42 million within a span of just 24 hours. According to DeFiLlama data, Friend.tech’s astounding achievement places it directly ahead of Tron and Uniswap, highlighting its development as an emerging prominent participant in the crypto space.
The Rise of Friend.tech
Since its beta version launched on August 11, Friend.tech has been making waves by introducing a revolutionary concept that allows users to tokenize their social networks. Friend.tech’s core proposition lies in its novel approach to turning social connections into tradable assets. Users can tokenize their social networks by purchasing shares of other users’ profiles.
This revolutionary platform, which was built on the newly launched Base network from Coinbase Global Inc (NASDAQ: COIN) allows people to buy and sell “shares” of their connections, allowing the buyer to send private messages to the share’s owner.
This unique concept transforms online connections into an economic incentive, allowing individuals to profit from the value they bring to the platform. The ownership of shares not only fosters a sense of community but also provides exclusive benefits, such as private messaging between the shareholder and the profile owner.
A significant aspect of Friend.tech’s ecosystem is the fee structure it employs. The platform charges a 5% fee on transactions conducted within its network. This mechanism incentivizes users to engage in trading shares while contributing to the platform’s revenue stream.
Data from DefiLlama reveals that the platform generated an astounding $1.12 million in fees within 24 hours after its launch. Since its inception, Friend.tech has amassed $2.8 million in fees. At the time of writing, the platform has facilitated over 769,000 transactions, with more than 67,000 unique traders participating actively.
Friend.tech’s rise is also evident from the attention it has garnered within the Twitter community. The recent influx of high-profile members, such as Garry Tan and Grayson Allen, substantiates the platform’s appeal and potential. These endorsements amplify Friend.tech’s credibility and visibility, contributing to its exponential growth.
Friend.tech: Growth Mixed with Sustainability Concerns
Despite its initial success, concerns are being raised about Friend.tech’s potential for unsustainable growth. Some experts and crypto commentators have highlighted several factors that could contribute to a rapid decline in the platform’s performance.
One of the key concerns raised by crypto commentator Yazan is the significant increase in share prices within a short span of time. Yazan highlighted that the rate at which share prices have risen may not be sustainable, potentially leading to a market correction or a decrease in user interest.
Drawing parallels with the collapse of BitClout in 2021, pseudonymous Web3 marketer Legendary argued that the hurry to capitalize on possibilities may be contributing to Friend.tech’s quick growth but may also contribute to its eventual demise.
Regardless of the uncertainty surrounding Friend.tech’s future success or challenges, its impact on the crypto landscape at the moment is undeniable.
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Benjamin Godfrey is a blockchain enthusiast and journalist who relishes writing about the real life applications of blockchain technology and innovations to drive general acceptance and worldwide integration of the emerging technology. His desire to educate people about cryptocurrencies inspires his contributions to renowned blockchain media and sites.
Source: https://www.coinspeaker.com/friend-tech-generates-1m-protocol-fees/