FRIEND plummeted to new lows after Good friend.Tech dropped its imaginative and prescient for a local blockchain.
The native token of Good friend.Tech, the once-booming SocialFi platform, has suffered a pointy sell-off after the mission bailed on its appchain plans.
On July 3, Good friend.Tech introduced it had deserted its imaginative and prescient for FriendChain and slashed protocol charges to zero for each the Good friend.Tech protocol and the related BunnySwap change.
The transfer precipitated a 35% crash within the value of FRIEND, with the token now down greater than 90% from its all-time excessive, based on CoinGecko.
The pivot to desert the chain comes following group outrage in response to Good friend.Tech launching its personal blockchain at a time when Layer 2 and Layer 3 saturation has turn out to be a serious ache level for customers as a consequence of liquidity fragmentation. After axing the transfer, Good friend.Tech will proceed to function on Base.
FriendChain was set to be constructed utilizing the help of Conduit, an Ethereum rollup deployer, and would act because the native blockchain internet hosting Good friend.Tech. The community was anticipated to host Good friend.Tech v2, BunnySwap, and all future ecosystem merchandise.
Declining income
At its peak in October 2023, Good friend.Tech repeatedly touted greater than 10,000 day by day energetic customers (DAU) and introduced day by day income of $100,000. Income even broke above $1 million on Sept. 14, based on TokenTerminal.
Nevertheless, the metrics have solely gone down since, with the choice to take away protocol charges destroying Good friend.Tech’s income. On July 6l Good friend.Tech hosted simply 220 day by day customers and introduced income of $1.
Crypto investor Seedphrase responded to the announcement on social media.
“Group-aligned incentives helped V1 be a standout success,” Seedphrase mentioned. “Sadly you didn’t seize this with the V2 launch if you determined to maintain the entire charges for yourselves. Good to see the FT staff change course, however solely time will inform if it’s too little; too late.”
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