Friend.Tech has unveiled plans to launch its proprietary blockchain, Friendchain, marking a decisive shift away from its current reliance on Ethereum’s infrastructure and the layer-2 solution Base. This strategic move, announced via Friend.Tech’s official X profile on June 8th, aims to bolster the socialFi app’s autonomy and operational capabilities within the decentralized ecosystem.
The introduction of Friendchain introduces the native FRIEND token, intended to serve as the primary gas token powering transactions on the new network. This development follows the earlier airdrop of the FRIEND token to the community in May, prompting significant interest and concern among users regarding the transition timeline and implications for the platform’s functionality.
Key to the implementation of Friendchain is a partnership with infrastructure provider Conduit, aimed at constructing a robust layer-1 blockchain solution tailored to Friend.Tech’s specific needs. Although specific details and a timeline for the migration from Base to Friendchain have yet to be fully disclosed, initial reactions within the community reflect a mix of anticipation and apprehension.
Central to community discussions are concerns over the added value that Friendchain will bring compared to existing Ethereum-based solutions like Base. Criticism has centered on potentially higher transaction fees on the FRIEND blockchain, a contrast to the lower costs associated with Ethereum’s recent layer-2 advancements.
In response to queries about the rationale behind this transition, Friend.Tech has emphasized the potential revenue streams from launching proprietary ‘appchains’ on Friendchain, where transactions would exclusively utilize the FRIEND token. This monetization strategy aims to offset operational costs and enhance platform sustainability, aligning with co-founder ‘Racer’s’ vision of establishing an independent ecosystem.
Market reactions have been cautiously optimistic, with the FRIEND token experiencing a notable price surge immediately following the announcement. Initial trading saw a 30% increase in value, reflecting investor confidence in the token’s future utility within Friendchain. However, long-term market performance hinges on Friend.Tech’s ability to generate substantial fee revenues independent of Ethereum’s established network.
As Friend.Tech navigates this pivotal transition to Friendchain, stakeholders anticipate further details and assurances from the team regarding operational efficiencies and user benefits. The move underscores Friend.Tech’s ambition to carve out a distinct niche within the evolving socialFi landscape, amid both potential rewards and challenges associated with blockchain independence.
Related topics:
NFT Market Sees 16% Sales Decline, Approaching $122 Million
Biden Campaign Explores Accepting Crypto Donations Amid Election Strategy Shift
Metaverse Education Market Poised for Explosive Growth, Projected to Reach $25 Billion by 2030
