Friend.tech tokens decreased by 22% after migrating from native L2.

Friend.tech, an at times wildly popular social app, has received mixed reactions to the news that it is launching its own network, Friendchain, using infrastructure platform Conduit from Base.

Launched in August 2023 on the Base Ethereum L2 network developed by Coinbase, Friend.tech quickly gained traction within the cryptocurrency community due to its approach to social interaction and monetization. But this has sparked skepticism and anger for exactly the same reasons. That means the project risks incurring the wrath of regulators due to its monetization strategy.

This announcement was followed by a call for users to secure a spot on the Friendchain testnet. This will allow participants to receive $FRIEND airdrop snapshots. However, some members of the community seemed tired of thinking about other chains.

The Giver, an anonymous Friend.tech user, wrote on Twitter that it is still too early for Friend.tech to migrate its projects and user base to the new network.

Friend.tech needs to get the maximum number of users before launching its own chain, the user wrote.

“The ultimate long-term vision is for sponsors/investors to continue to reduce protocol costs and to become a Web3 portal for monetized social media and go out to SaaS multiples as a Web2 company,” they said. “The ultimate long-term vision is for backers/investors to continue to drive down protocol costs and become a Web3 portal for monetizing social media, going out to SaaS multiples as a Web2 company.”

The decision to leave Base was not at all surprising. Last May, pseudonym Friend.tech co-founder Racer hinted at this in his Twitter post.

“System design bounty: If you can figure out a way to migrate friendtech from Base without causing major problems for users, and if it works well enough for us to decide to use it, we will pay $200,000,” said co-founder wrote: At that time.

However, both the post and the Twitter account were later deleted.

Meanwhile, the price of the FRIEND token briefly surged to $1.29 on Sunday, but then saw its price skyrocket over the weekend.

As of this writing, FRIEND is trading at $0.78 after falling 20% ​​the previous day. It’s currently 60% lower than it was this time last month, according to CoinGecko data. The current price is 1.8% higher than the token’s all-time low hit on Friday.

At the end of April, expectations were growing for a 100% airdrop of the project. The token began trading at $3.00 on May 3 and fell almost immediately, but surged two days later and hit an all-time high of $3.26.