Looking at the future of SocialFi from the demise of FriendTech: Greed-driven speculation hinders innovation, industry remains optimistic

Foreign media Cointelegraph recently interviewed industry experts on the demise of the social platform Friend.tech and gathered their opinions on the matter.

Integrating Blockchain Technology to Reconstruct Social Media

The social platform Friend.tech, once representing SocialFi, aims to reconstruct social media through blockchain technology, addressing issues such as platform monopolies, data misuse, and providing fair revenue to creators.

Coinbase: FriendTech Greedy and Ineffective, Leading to Demise

From August 2023 to 2024, Friend.tech sparked a hype, but unfortunately, after launching its token FRIEND in May, it plummeted and in August, Coinbase executives stated that it was "greedy and ineffective," leading to its "demise." The locked amount once reached $52 million but now only stands at $3.57 million.

Friend.tech token plummeted by over 20%: Co-founder hints at possible departure from Base

Failing to Bridge the Gap, Lacking Long-Term Plans

Despite an impressive start, Friend.tech met its demise due to speculative activities. Experts believe that attracting those who love innovation and are willing to try new things is not difficult, but making the general public embrace the product is challenging. The issues faced by Friend.tech are similar to many early Web2 social platforms, where they initially have a certain audience, but struggle to expand to a wider user base. Some experts also point out that Friend.tech lacks fundamental utility value and long-term plans.

Industry Optimistic about SocialFi, Development Challenges Persist

Despite the impact of Friend.tech, the industry remains optimistic about SocialFi. Some experts state that the user experience of Web3 applications has significantly improved compared to years ago, and within the next two to three years, the differences between SocialFi and traditional Web2 will diminish.

Challenges facing SocialFi include scalability, high transaction costs, and the development of new social models. Industry experts believe that the future of SocialFi depends on its ability to create a truly unique and valuable user experience. Although SocialFi is still in its early stages, there is a general belief within the industry that it will eventually have a significant impact.

In conclusion, Web3 is filled with numerous speculative traps, and whether one is looking to invest in SocialFi or develop other types of products, having a core value, focusing on building "meaningful connections," and having long-term plans rather than short-term gains are essential.