Friend.tech token plummets as co-founder expresses desire to leave Ethereum Layer-2 network

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27th May 2024 – (San Francisco) The price of Friend.tech’s native token, Friend (FRIEND), experienced a sharp decline today following a social media post from the project’s co-founder, known by the pseudonym Racer. In the post, Racer expressed a desire to depart from Base, the Ethereum Layer-2 network that serves as the host for Friend.tech.

Racer took to X to announce a system design bounty, offering a reward of $200,000 to anyone who could devise a method for migrating Friend.tech off of Base without causing significant disruptions for users and if the solution proved to be effective enough for adoption.

According to Racer, the relationship between the Friend.tech team and Base has been strained. In another post, Racer mentioned that the project faced backlash from Farcaster investors during its launch, leading to a deteriorating relationship and a sense of exclusion from the “Base community.”

At certain points on Sunday, Racer’s posts became inaccessible, leaving uncertainty as to whether their account had been deleted following the messages.

In response, Jesse Pollak, the leader of Base at Coinbase, posted a diplomatic message acknowledging that the Friend.tech team had felt isolated and disconnected from certain segments of the Base and Ethereum ecosystems. Pollak expressed his sadness if the team were to decide to leave Base but emphasized his respect and support for their chosen path, highlighting the decentralized nature of the on-chain economy.

The plummeting value of the Friend.tech token, which was recently launched as part of the social network’s version 2 rollout, was evident as it experienced a decline of approximately 20%, as reported by The Block’s price page.