Base

<p class="is-style-lead">According to Tom Wan, an on-chain analyst at 21.co, Friend.tech’s daily activities related to key minting have seen a decline, with minimal minting on most days.</p>
<p>In <a href="https://x.com/tomwanhh/status/1744034365070328046?s=20" target="_blank" rel="noopener noreferrer nofollow">an X th</a><a href="https://x.com/tomwanhh/status/1744034365070328046?s=20" target="_blank" rel="noopener noreferrer nofollow">re</a><a href="https://x.com/tomwanhh/status/1744034365070328046?s=20" target="_blank" rel="noopener noreferrer nofollow">ad</a> on Jan. 7, Wan revealed that the decentralized social network transferred nearly half of its earned fees, totaling 7,800 ETH (equivalent to $16.6 million), to a centralized cryptocurrency exchange, <a href="https://crypto.news/tag/coinbase/" target="_blank" rel="noopener noreferrer nofollow">Coinbase</a>.</p>
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   <p lang="en" dir="ltr">1/ <a href="https://twitter.com/friendtech?ref_src=twsrc%5Etfw" target="_blank" rel="noopener noreferrer nofollow">@friendtech</a> treasury (All Earned Fees) finally moved from an EOA Address to a Multi-Sig one in Dec.<br><br>In the meantime, they also sent half of their earned fees, which is 7,800 ETH ($16.6M), to Coinbase <a href="https://t.co/UoISqyUGGV" target="_blank" rel="noopener noreferrer nofollow">pic.twitter.com/UoISqyUGGV</a></p>— Tom Wan (@tomwanhh) <a href="https://twitter.com/tomwanhh/status/1744034365070328046?ref_src=twsrc%5Etfw" target="_blank" rel="noopener noreferrer nofollow">January 7, 2024</a>
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<p>The latest move comes as Friend.tech experiences a substantial decline in assets locked in the project. At its peak, the total value of assets locked in Friend.tech’s smart contract reached 30,000 ETH (around $50 million) but has since dropped by 50% to its current standing of 15,000 ETH (around $33 million).</p>
<p>You might also like: <a href="https://crypto.news/friend-tech-phishing-scheme-involved-fake-journalists/" rel="noopener noreferrer nofollow"> Friend.tech phishing scheme involved fake journalists </a></p>
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   <p lang="en" dir="ltr">2/ FT's TVL has dropped 50% compared to ATH<br><br>At its peak, its TVL is 30k ETH ($50M), and currently, it is only 15k ETH($33M)<br><br>The daily key minting activities are minimal. More redemptions than minting on most days <a href="https://t.co/u5Wcj2AO94" target="_blank" rel="noopener noreferrer nofollow">pic.twitter.com/u5Wcj2AO94</a></p>— Tom Wan (@tomwanhh) <a href="https://twitter.com/tomwanhh/status/1744034367855313096?ref_src=twsrc%5Etfw" target="_blank" rel="noopener noreferrer nofollow">January 7, 2024</a>
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<p>Wan pointed out that the users’ exodus also coincides with daily activities related to key minting witnessing a decline, with minimal minting and a higher frequency of redemptions on most days.</p>
<p>As of press time, slightly more than one percent of active users on Coinbase’s Base blockchain are using Friend.tech, representing a notable contrast to the peak period when nearly 55% of active addresses on Base were using the project, contributing to 18% of the total fees generated during that time. According to <a href="https://defillama.com/protocol/friend.tech?denomination=ETH&amp;fees=true" target="_blank" rel="noopener noreferrer nofollow">data</a> from DefiLlama, the total fees generated on Friend.tech has been falling since September 2023, reaching new lows at 10 ETH per day on average.</p>
<p>Launched in August 2023, Friend.tech is a Base-based social network application, where users can monetize their content or expertise. In its essence, the startup is a <a href="https://crypto.news/what-is-friend-tech-social-platform-earning-over-1m-in-fees/" target="_blank" rel="noopener noreferrer nofollow">marketplace for friends</a>, a decentralized platform where users tokenize their social connections, granting privileges such as private messaging and interaction rights.</p>
<p>Read more: <a href="https://crypto.news/hackers-target-friend-tech-users-with-cunning-verification-scam/" rel="noopener noreferrer nofollow"> Hackers target Friend.tech users with cunning verification scam </a></p>

Friend.tech moved almost 50% of its fees to Coinbase as TVL slashed by half

crypto.news

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