{"id":69905,"date":"2023-10-07T12:28:10","date_gmt":"2023-10-07T16:28:10","guid":{"rendered":"https:\/\/ifintechworld.com\/markets\/crypto\/friend-tech-developers-amass-nearly-20-million-since-august-debut\/"},"modified":"2023-10-07T12:28:13","modified_gmt":"2023-10-07T16:28:13","slug":"friend-tech-developers-amass-nearly-20-million-since-august-debut","status":"publish","type":"post","link":"https:\/\/ifintechworld.com\/?p=69905","title":{"rendered":"Friend.tech Developers Amass Nearly $20 Million Since August Debut"},"content":{"rendered":"
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The development team behind friend.tech has amassed nearly $20 million in revenue since its launch in August.<\/p>\n

According to\u00a0data from DeFiLlama, friend.tech currently holds the position of the largest revenue-generating application on Base and the second-largest across the entire crypto space.\u00a0<\/p>\n

At its current pace, the platform is projected to generate an annualized revenue of $180 million.<\/p>\n

The platform has generated approximately $40 million in user fees to date.\u00a0<\/p>\n

These fees are derived from taxing around 10% of the trading volume of social tokens.\u00a0<\/p>\n

Half of the total fee collected is allocated as revenue for the project’s team, while the other half is distributed among users whose keys are traded.<\/p>\n

Friend.tech serves as a platform that enables users to link their Twitter accounts and facilitates the buying and selling of influencer profile tokens, known as “keys,” using ETH on the Coinbase-backed Layer 2 network, Base.\u00a0<\/p>\n

These keys grant users privileged communication access to influencers, creating a unique social interaction experience.<\/p>\n

Despite the emergence of several friend.tech clone apps, the project continues to dominate the SocialFi niche in terms of daily volume.\u00a0<\/p>\n

However, there has been a decline in the number of unique users since late September.<\/p>\n

In addition to the impressive revenue generated, the pseudonymous founder of friend.tech, known as ‘0xRacer,’ has individually earned over $440,000 from the platform, as reported by on-chain data aggregated on Dune.<\/p>\n

Hackers Continue to Target Friend.tech Users\u00a0<\/h2>\n

Earlier this week, a hacker stole approximately $385,000 worth of digital assets in 24 hours by performing SIM-swapping attacks on friend.tech users.\u00a0<\/p>\n

As\u00a0reported, blockchain sleuth\u00a0ZachXBT\u00a0<\/strong>revealed the scammer had pilfered 234 ETH over the past 24 hours by SIM-swapping four different friend.tech users.<\/p>\n

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According to\u00a0Manifold Trading<\/strong>, a company dedicated to developing tools for the industry, $20 million out of friend.tech’s total locked value of $50 million is at risk.\u00a0<\/p>\n

“If you assume 1\/3 of FriendTech accounts are connected to phone numbers, that’s $20M at risk from sim-swaps,” the company wrote in a recent post on X.\u00a0<\/p>\n

Manifold Trading also noted that friend.tech’s current setup “technically allows a rogue dev to reconstruct private keys via Shamir-Secret-Sharing shares that they can recover from user data in their database,” concluding that the whole TVL is at risk.<\/p>\n

To mitigate this risk, Manifold Trading recommends that friend.tech enhances its account security protocols by implementing two-factor authentication (2FA).<\/p>\n<\/p><\/div>\n