Friendzy Takes Over Friend.tech
Friend.tech is a decentralized social media platform built on blockchain technology. According to data from Dune, the platform has seen weekly volumes hovering around the $2 million mark for the past two weeks.
Friend.tech, which experienced a decline in August, made a resurgence after its launch on August 11. Despite being declared ‘dead’ by the crypto community on X (formerly Twitter), it has witnessed a surge in deposits and activity in recent weeks.
The spokesperson for Friendzy emphasized that this Solana Fork aims to differentiate itself from Friend.tech by offering additional features beyond chatrooms, thus ensuring a distinctive price trajectory. Friendzy, like Friend.tech, tokenizes tweets into keys, which users can trade to access chatrooms. The specific benefits awarded to users are determined by the creators who own the chatrooms, as outlined in the Friendzy application’s FAQ page.
The prices of these keys are determined by the principles of supply and demand. The higher the demand for keys, the higher their price, and vice versa. Notably, these transactions do not involve fiat currency; traders acquire keys through smart contracts.
The spokesperson also pointed out a significant increase in the app’s trading volume compared to its leading incumbent, which has sometimes been speculated as a Ponzi scheme due to the hype generated by creators and its pricing strategies. Shares of top accounts on Friendzy are priced at $10, whereas Friend.tech shares are sold at $11.50. Key holders in both applications earn royalties when keys are traded, with higher prices in Friend.tech translating to higher royalties, surpassing Friendzy in this regard. This motivates token holders to use Friend.tech keys to attract greater royalties.
Friend.tech’s Warning Against Forks and Copies
Friend.tech had issued a warning to its users regarding the use of copycat versions of its platform. The decentralized social media platform stated that those associated with forks would risk forfeiting their keys. This announcement was met with criticism from the crypto community, as it contradicted the principles of the industry.
The attempt to stifle competition was poorly received, and the crypto community on X demanded an apology from the platform.
The pseudonymous founder of Racer’s social media platform later retracted the platform’s comments and issued a public apology on his X account on August 29. He described the earlier statement as a misguided attempt to gain a competitive edge for his application. This announcement came at a time when the application was experiencing reduced activity and trade volume.
Coinbase’s risk manager attributed Friend.tech’s failure to poor execution and greed. Following this announcement, other copycats and forks of the decentralized social media platform, such as Friendzy, emerged and achieved substantial profits.
Friend.tech was initially launched on August 11, quickly gaining popularity among creators and resulting in increased volume and activity. However, this popularity was short-lived as volume declined significantly in the following weeks.
The frenzy surrounding Friend.tech highlighted the demand for a decentralized social media platform, leading to the emergence of forks and copycats like Friendzy, which have successfully adopted the same operational model. The leading incumbent’s attempt to revoke user keys as a means to combat competition from these forks was met with resistance from the crypto community, prompting a swift retraction of their statements.
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