Friend.Tech, the social media platform built on the Base network, launched its much-anticipated V2 update alongside its native token, FRIEND, on May 3rd, 2024. The update promised a new era for the platform, introducing features like Clubs and a revamped social experience. However, the launch was marred by technical glitches, a plummeting token price, and widespread community disappointment.
Friend.Tech V2
Friend.Tech V2 introduced several new features, including “Clubs,” a key aspect of the platform’s future development. Clubs are essentially community-owned spaces led by keyholders. Users can create multiple clubs and leverage a bonding curve to determine membership fees. Additionally, a 1.5% platform fee on every transaction goes towards liquidity providers on the platform’s native decentralized exchange (DEX).
However, leaked information before the launch suggested the introduction of a non-transferable token called “POINTS,” which would be used for club creation and interaction. While POINTS were not included in the final launch, it caused confusion and concerns within the community regarding the future direction of the platform’s tokenomics.
The launch of Friend.Tech V2 was far from ideal. Several hurdles plagued the experience:
Technical glitches: Many users encountered problems claiming their airdropped tokens due to technical issues on the platform.
Club functionality issues: The core feature of V2, Clubs, also faced problems. Users reported that the platform wasn’t recognizing their club memberships or displaying newly created clubs.
Price crash: The FRIEND token price suffered a dramatic drop, plummeting 46% from $2.78 to $1.49 in less than four hours. Analysts attributed this to a lack of liquidity, with Friend.Tech only adding a minimal amount to the pool.
Airdrop and Distribution
Friend.Tech promised a 100% airdrop of FRIEND tokens to users captured in an April snapshot. However, the airdrop process turned out to be a major hurdle. Many users reported difficulties claiming their tokens, with some even stating their points had vanished entirely. This led to frustration and confusion within the community, with users like mcSleuth on Twitter questioning the platform’s competence: “How does one fumble this bad?” and others questioning the legitimacy of the airdrop altogether, tweeting, “Literally all my friend.tech points are gone and I have 0 FRIEND to claim?“
The airdrop distribution also came under fire. Critics claimed it favored prominent users, leaving the majority of users with negligible token amounts. “Most users got 10x less airdrop than what they were expecting,” commented Hitesh Malviya, suggesting a “concentrated airdrop” strategy. This sentiment was echoed by other users stating, “I’m not selling my FRIEND airdrop (cause I can’t even claim it).“
Looking Ahead
Industry analysts believe the concentrated airdrop model, where a small number of users received a disproportionate share of tokens, contributed to the community’s dissatisfaction. Friend.Tech’s future hinges on its ability to rebuild trust. Addressing the airdrop issues, providing clear explanations for scrapped features like POINTS, and actively engaging with the community are crucial first steps.
Friend.Tech must also demonstrate the utility of its FRIEND token and the long-term viability of the Clubs feature to attract and retain users in a competitive Web3 landscape. While the road to recovery won’t be easy, Friend.Tech can still carve a niche for itself by focusing on user experience, fostering a healthy community, and delivering on the promise of a truly decentralized social media platform.
