Friends Technology, once Assuming the platform is deadhas made a stunning comeback, with total value locked (TVL) reaching an all-time high.
Friend.tech unexpectedly revives
Friend.tech is a decentralized social network that has been making waves in the cryptocurrency space. According to data from DeFiLlama, the social media platform’s total value locked (TVL) hit an all-time high, surging above $20 million in the past few days.
Report It was also revealed that Friend.tech’s daily trading volume soared by US$12.3 million in just one day, surpassing OpenSea, the world’s largest NFT market, with daily trading volume exceeding US$3 million on September 9.
This resurgence comes just weeks after the crypto community wrote off crypto projects as “dead“Due to a sharp drop in user activity and TVL.
An anonymous cryptocurrency account, Herro commented on the sudden resurgence of Friend.tech, which he believes will revive and grow further. However, he said the extent of the platform’s growth will depend on the management and efforts of his team.
He explained that the platform may undergo certain improvements and changes, such as lowering fees and promoting the onboarding of non-crypto users.
“I believe FT will hold on until the token is launched in 5 months. Before and after that, its future will depend on the team. I believe they will lower fees, increase creator income, and attract non-crypto natives to Be successful,” Herro told CoinTelegraph.
Total market cap chart struggles to stay above $1 trillion | Source: Crypto Total Market Cap on Tradingview.com
Possible reasons behind Friend.tech’s surge
Friend.tech first launched in August as One of the top decentralized applications (dApp). It started out as a fairly popular platform with huge growth prospects, and the goal of the platform was to lead socialization in the decentralized space.
That same month, however, Friend.tech unexpectedly began to decline. Daily trading volume plunges 94% It dropped from a peak of $16.9 million to $953,000.
While transaction volume dropped, user activity also dropped significantly. The social network had previously recorded daily trading volumes of 350,000 people, but that has now dropped sharply to just 6,000. Friend.tech also experienced unfortunate losses MEV robot Over $2 million worth of keys were stolen from decentralized platforms. However, the platform seems to be coming back from the dead.
There’s no clear reason for Friend.tech’s sudden surge, as cryptocurrency enthusiasts and investors are currently wondering what drove the otherwise placid decentralized social network to all-time highs.
Popular cryptocurrency trader Hsaka explained a possible explanation for this resurgence. Hsaka said Friend.tech’s TVL doubled when users realized they could earn rewards or interest when depositing crypto assets into DApps.
Friend tech TVL increased 2x as people realized these were just renamed yield farms.
— Hsaka (@HsakaTrades) September 9, 2023
Another reason behind the growth of Friend.tech could be the increasing number of non-crypto users on the decentralized social network.
Featured images from Binance, charts from Tradingview.com