Friend.tech moves nearly 50% of fees to Coinbase as TVL cuts in half
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21.co on-chain analyst Tom Wan said Friend.tech’s daily activity related to key minting has declined, with minting volumes being low on most days.
exist Xthaboutadvertise On January 7, Wan revealed that the decentralized social network moved nearly half of its revenue, totaling 7,800 ETH (equivalent to $16.6 million), to centralized cryptocurrency exchange Coinbase.
The latest move comes as assets locked in the Friend.tech project have dropped significantly. At its peak, the total value of assets locked in Friend.tech smart contracts reached 30,000 ETH (approximately $50 million), but has since fallen by 50% to the current 15,000 ETH (approximately $33 million).
Wan noted that the exodus of users also coincides with a decline in daily activity related to key minting, with minting volumes being low on most days and redemptions being more frequent.
As of press time, just over 1% of active users on the Coinbase Base blockchain are using Friend.tech, which is in sharp contrast to the peak period, when nearly 55% of active addresses on Base were using the project, contributing 18% Active address. The total expenses incurred during this period.according to data DefiLlama said that the total fees generated by Friend.tech have been declining since September 2023, reaching a new low of an average of 10 ETH per day.
Launched in August 2023, Friend.tech is a Base-based social networking application that allows users to monetize their content or expertise. At its core, the startup is a friends marketplace, a decentralized platform where users can tag their social connections, granting perks like private messaging and interaction rights.
