SocialFi Project Friend.tech $FRIEND Drops -40% as the Team Renounces Control of Its Smart Contracts, Citing Stagnant Growth

Once a top SocialFi project backed by tier 1 venture capital firm Paradigm, Friend.tech $FRIEND is now facing serious challenges. Today, the $FRIEND token experienced a significant drop of 40%, leaving investors increasingly concerned about the future of the project.

Once touted as a top SocialFi project with the backing of tier 1 venture capital firm Paradigm, Friend.tech $FRIEND is now facing serious challenges.

Today, the $FRIEND token experienced a significant drop of 40%, sparking increasing concern among investors about the future of the project. The price decline comes hot on the heels of the development team’s decision to renounce control over its smart contracts, citing stagnant growth as the primary reason.

In this renouncement, the admin and ownership parameters were set to 0x000…000, effectively preventing any future modifications to the platform’s fees or functionality. However, the separate web client operated by the project at friend.tech will continue to function as usual. Importantly, none of the fees collected from the smart contracts or web client currently go to the Friend.tech dev team’s multisig wallet.

Admin and ownership parameters have been set to 0x000…000 to prevent any changes to their fees or functionality in the future.

This change does not affect the separate web client operated at https://t.co/YOHabcBL3H which will continue to function as is. No fees from either…

— friend.tech (@friendtech) September 8, 2024

Machi Big Brother Suffers Massive Loss as $FRIEND Price Declines

Among the investors, one of the most notable is Machi Big Brother, who encountered a huge loss.

Machi Big Brother(@machibigbrother) spent ~5.2K $ETH($16.7M) to buy 11.1M $FRIEND, and this is now worth just $0.7M!

He lost a total of $16M.

Why did this happen?The Friend․tech team handed over control over the protocol’s smart contracts, causing a 26% fall… pic.twitter.com/2c4F8fRQQy

— Karan Singh Arora (@thisisksa) September 9, 2024

Having spent $16.7 million on $FRIEND, the recent token plunge has slashed the value of his holdings to just $700,000, a loss of $16 million.

CRYPTO JUST LOST A FRIEND.?

Machi Big Brother spent ~5.2K $ETH ? ($16.7M) to buy 11.1M $FRIEND, now worth only $0.7M!

He lost a total of $16M.

Why did this happen?The Friend․tech team handed over control over the protocol’s smart contracts, causing a 26% fall… pic.twitter.com/2c4F8fRQQy

— Karan Singh Arora (@thisisksa) September 9, 2024

The sharp price decline and sudden changes have left investors worried about the long-term viability of the project. While the web client remains operational, the team’s decision to relinquish control of the smart contracts suggests a potentially uncertain future for Friend.tech and its investors.

With no clear recovery in sight for the $FRIEND token, many are left speculating on the next steps for what was once a promising SocialFi platform. For now, the market will be watching closely to see whether Friend.tech can stabilize or if this marks the beginning of the end for the project.

#PeckShieldAlert Friend[.]Tech $FRIEND has dropped -23.6% as the team renounces control of its smart contracts, citing stagnant growth.https://t.co/pM52nkUGDE pic.twitter.com/KqRjIxIjuo

— PeckShieldAlert (@PeckShieldAlert) September 9, 2024

Disclosure: This is not trading or investment advice. Always do your research before buying any cryptocurrency or investing in any service.

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