Decentralized social media platform Friend.tech is gearing up for the launch of its version two and accompanying airdrop on May 3.
Decentralized social media platform Friend.tech is gearing up for the launch of its version two and accompanying airdrop on May 3. However, leaked information about the platform's smart contract has sparked controversy due to potentially contentious features, including the introduction of a non-transferable token.
According to a post by pseudonymous decentralized finance (DeFi) researcher CBBOFE, who claims to have discovered the smart contracts, Friend.tech v2 might include a non-transferable token as part of the airdrop. The token, known as $POINT, will seemingly be tradable exclusively on BunnySwap, a native decentralized exchange (DEX). However, recipients of the airdrop will not be able to sell or exchange the coins unless their addresses are whitelisted by the protocol.
The proposed POINTS token would serve as a utility token on the platform, enabling the creation of social clubs. However, users may face a 1.5% platform fee when utilizing these clubs, as indicated by CBBFOE. The token will be required to purchase club keys, and a bonding curve will be established to offer various options for users. Additionally, the new tokens will be rewarded to users who stake their Ether and Points tokens through the Friend.tech smart contract.
Although non-transferable tokens have drawn backlash from the community, they could potentially benefit the long-term price stability of the cryptocurrency. Airdrops often lead to significant declines in token value as recipients tend to sell their rewards immediately. Examples include The Omni Network's OMNI token, which experienced a 55% drop in market capitalization within 18 hours following an airdrop, and Wormhole's token (W), which fell nearly 25% in just a few hours after an airdrop on April 3.
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