Tech
Friend.tech co-founder suggests starting from the base, the token drops by 30%
The Friend.tech co-founder, who goes by the screen name Racer, has hinted that he is leaving Base, an Ethereum Layer-2 network launched by Coinbase in 2023 that supports the platform.
Following the news, the Friend.tech token fallen sharply and is now trading at $1.02, a decline of 31.4% over the last day.
Tips from the runner when starting from the base
Racer has posted a system design award on X that offers a $200,000 reward to anyone who can devise a method to migrate Friend.tech from Base without causing significant disruption to users. The reward would be awarded if the solution proved effective enough to be adopted.
Racer said the relationship between the Friend.tech team and Base has been strained. In another post, they mentioned that the project faced a backlash from Farcaster investors during its launch, which led to deteriorating relations and a sense of exclusion from the Base community.
In response, Jesse Pollak, who runs Base for Coinbase, took on a diplomatic post. Pollack recognized that the Friend.tech team had felt “isolated and disconnected” from some parts of the Base and Ethereum ecosystems.
Pollack added that he would be sad if the Base decided to leave, but he would still respect and support its chosen path.
Increasing core network activity
Friend.tech launched in August 2023, quickly generating hype and attracting both supporters and critics. The decentralized social network, built on top of Ethereum’s layer-2 scaling network, allows users to buy and sell “keys” linked to Twitter accounts.
Coinbase’s first quarter relationship highlighted that trading volume on the Layer 2 network has surpassed that of its competitors, especially after Ethereum’s Dencun update. The growth was driven by the launch of popular projects on the network, such as Friend.tech and meme coins such as dogwifhat (WIF), Book of Meme (BOME).
DeFi cryptocurrency exchanges on Base have seen daily trading volumes exceeding $1 billion, significantly narrowing the gap between L2 and Coinbase’s main centralized exchange, which trades nearly 250 cryptocurrencies.
Dencun’s update quickly increased Base’s daily transaction volume and revenue, allowing it to surpass established operators like Optimism and Arbitrum. This update reduced costs for Layer-2 scaling chains such as Base, resulting in increased user engagement and transaction volume.
Second Dune analysis, there are currently 234,199 active addresses on Base, with 38,087 new addresses this week. Meanwhile, the network’s total profit is $42.7 million and its total revenue is $58.67 million.