According to Tom Wan, on-chain analyst at 21.co, Friend.tech’s daily activity related to key issuance has declined, with issuance minimal on most days.
In a Jan. 7
The latest move comes as Friend.tech has experienced a significant decline in assets locked up in the project. At its peak, the total value of assets locked in Friend.tech’s smart contracts amounted to 30,000 ETH (about $50 million), but has since declined by 50% to its current status of 15,000 ETH (about $33 million).
Wan sees the decline in user churn coinciding with daily activities related to major mints, noting that mints are minimal on most days and redemptions are more frequent.
As of press time, just over 1% of active users on Coinbase’s Base blockchain are using Friend.tech. This represents a notable contrast to the peak period, when approximately 55% of Base’s active addresses used the project, contributing to 18% of the total. Total fees incurred during the period. According to data from DefiLlama, total fees generated by Friend.tech have been decreasing since September 2023, reaching a new low of 10 ETH per day on average.
Released in August 2023, Friend.tech is a Base-based social network application that allows users to monetize their content or expertise. Essentially, the startup is a marketplace for friends and a decentralized platform where users tokenize their social connections, granting them permissions such as private messaging and interaction rights.