Friend.tech Offers Bounty to Migrate Away from Base

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As an experienced financial analyst, I have closely followed the developments in the Web3 social network space, and Friend.tech’s recent announcement of a potential migration from Base piqued my interest. The instability in their relationship with Base, as mentioned by pseudonymous founder Racer, is concerning, especially given the significant bounty offered for a solution.

As a researcher studying the blockchain industry, I’ve come across an intriguing update regarding Friend.tech, a Web3 social network. The platform, which is currently operating on Base, has announced a reward of $200,000 for anyone who can successfully figure out how to facilitate its migration to another platform. This announcement comes amidst increasing speculation and uncertainty within the crypto community. Consequently, FRIEND, the native currency of Friend.tech, has witnessed a significant drop in value as a result of these developments.

Why Friend Tech Is Migrating from Base

Friend Tech’s network is operated on Base, an Ethereum Layer 2 solution developed by Coinbase Global Inc (NASDAQ: COIN). Yet, the team at Friend Tech, headed by a pseudonymous founder known as Racer, has reportedly experienced instability in their partnership with Base.

Taking to social media X, Racer wrote:

“I am offering a reward of $200K if you can successfully transition friendtech away from its current platform without causing significant disruptions for our users. If this solution performs satisfactorily and we adopt it, your efforts will be generously compensated.”

In a previous post, Racer mentioned that there was a misconception among Farcaster investors about Friend.tech’s intentions when it first emerged, leading to defamation. Subsequently, their relationship worsened, and users distanced themselves due to Friend.tech’s link to the Base community.

In response to Racer’s comments, Jesse Pollak, a contributor at Friend.tech, expressed his disappointment if the platform were to depart from using Base.

“As a founding user, I’ve witnessed the team’s dedication to improvement and innovation firsthand. From revolutionizing wallet user experience to successfully introducing new product versions and a fully user-owned token economy, they are truly blazing new trails. I eagerly anticipate the resolution of tensions between Friendtech and the wider Ethereum/base ecosystem, as I believe great synergy can be achieved.”

At present, Racer’s posts have been removed from X and it is unclear if their account was deleted in response to the content. Simultaneously, FRIEND has experienced a 27% decrease in value over the past day, now priced at $0.9762. Its market capitalization stands at $14.25 million, while the trading volume amounts to $10.26 million.

Friend.tech’s Proposition

Introduced in August 2023, Friend Tech represents a revolutionary social media experience built on blockchain technology. A key element of this platform is token-restricted chats, facilitated through ‘keys’ tokens that are exchangeable. With this setup, users can financially benefit as they engage with content creators whose influence continues to expand.

Users can buy shares representing a portion of other users’ social media profiles, fostering a sense of belonging and granting special perks like private messaging. The platform collects a 5% commission on all in-platform transactions, generating significant revenue. Within a day of its debut, the platform earned over a million dollars from transaction fees.

Previously this month, Coinspeaker announced that the network was contemplating introducing a non-tradable token labeled POINTS after completing its V2 upgrade. As of now, it remains to be seen if Friend.tech will eventually shift from Coinbase’s platform with these new advancements.

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2024-05-27 12:42