Friend.Tech has recently seen a significant surge in total value locked, doubling to reach almost $20 million over the previous four days. Several analysts throughout the broader crypto market had declared the platform dead as a result of poor activity just two weeks ago. However, the situation took an unexpected turn when Friend.Tech experienced a considerable resurgence over the previous few days.
As per the data shared by Dune Analytics, the platform witnessed approximately $12.3 million in daily trading volume, making it the third highest ever. The sudden resurgence in trading volume was quick to startle the crypto community. A pseudonymous account, TylerDidIt, pointed out that the trading volume on Friend.Tech eclipsed that of OpenSea, and continued to state that the Friend.Tech outperformed the NFT marketplace by almost $3 million.
An Unexpected Return of Friend.Tech
The prominent trader, Hsaka, stated that TVL doubled as soon as users realized that Friend.Tech chats were merely rebranded yield farms. At the same time, many argue that the potential reason behind the sudden resurrection of the platform might have something to do with the non-crypto figures that have joined the platform over the course of the previous weeks.
With that in mind, many people jumped to the conclusion that the platform might just not be limited to crypto enthusiasts. Over the course of time, Friend.Tech has shipped a series of updates that have offered great improvements to overall functionality as well as user experience. The platform was plagued with numerous bugs and technical errors following its launch, but the developers have added a bunch of new features that include the ability to upload pictures, and credit-card purchase options, along with new sections to view different types of activities.
Friend.Tech was launched on Coinbase’s layer 2 platform Base on August 11 this year. Just 10 days after its launch, the platform managed to generate almost $5.9 million in fees. Not too long after, user activity faced a considerable decline. Daily fees fell by almost 87% whereas the transaction volume was subject to a decline of 90% over the course of the next week.