Friend.Tech Native Token Drops to $2.5 after Debut

A decentralized social platform, Friend.Tech, initiated an airdrop of its native token, FRIEND, coinciding with the unveiling of version 2 of its platform. However, following its debut on Base for trading, the token experienced a significant price drop to $2.5 from $169.

Analysts attribute this dramatic drop to potential liquidity issues, similar to the recent Renzo token incident. This suggests a lack of sufficient buy and sell orders to maintain a stable price.

As per data from DEXscreener, there was an initial surge in price to $169 upon trading commencement on Base, and the token’s value swiftly plummeted to $2.5. According to DeFiLlama, Friend.Tech had $23.63 million worth of crypto assets locked up, which is more than 40% less than the peak of $52.04 million in early October.

In the updated version 2, the company introduces a variety of new features, including the Money Club, which enables exclusive financial debate combining a new point system with an exclusive forum for financial networking.

Last month saw a surge in activity as users eagerly awaited the launch of version 2, initially scheduled for April 20, along with the much-anticipated FRIEND token airdrop.

The platform recently took a snapshot of the 100% airdrop of FRIEND, generating excitement. However, some users are encountering difficulties claiming their airdrop.

Reetika Malik, a trader and cryptocurrency analyst located in Dubai, stated on Twitter that she was not selling her FRIEND airdrop because she was unable to claim it. According to Malviya, the tokens were distributed in a “concentrated airdrop,” with top creators taking the majority of it.

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