Notice: Opinion author article
FT operates as a Ponzi scheme, masquerading as a “social experiment,” capitalizing on the naivety of influencers. Buckle up, this is going to be a long one!
Think twice before signing up:
The founders have a history of launching other financial experiments and abandoning them without prior notice.
FriendTech was founded by 0xRacerAlt, the same individual behind TweetDAO and Stealcam. Both are considered precursors to FT as social experiments.
• TweetDAO was launched in 2022 with the concept that NFT holders could contribute to the project’s Twitter account. Shortly after, the account was deactivated and its website now redirects to another Twitter account, inactive since early 2022.
• Stealcam was founded in March 2023 with an idea centered around an auction mechanism for viewing private photos from specific accounts. Currently, its Twitter account is deactivated, and the website usage is practically nonexistent.
These three projects share common characteristics:
All label themselves as a "social experiment."
They all possess a pyramid-like economic structure.
They were operational only for a short period before being discontinued.
Only a small percentage of FriendTech users can actually provide any value to their shareholders. This platform wasn't designed for everyone.
You aren't purchasing a "stake" in any account on X. You don't gain the right to monetize the account or any sort of future revenue. Interacting with X was merely a method to rapidly attract users (and likely link your wallets to your Twitter profile).
You're buying access to a private chat with the account owner. Most are simply buying in hopes of selling later at a higher price.
Earning potential on FT doesn't support long-term sustainability; the majority of users' earning opportunities come early, with an exponential appreciation of their shares (now termed "keys"). Once the shares increase in value, the demand drops for obvious reasons.
This environment closely resembles the NFT space, where significant collections often face sudden collapses.
FriendTech's economy is based on a pyramid scheme.
The price curve of shares isn't based on supply and demand. It's founded on a quadratic function, meaning the more people want to buy, the price rises exponentially.
The catch is, the price drop is also exponential. In other words, once there are more sellers than buyers, prices lose sustainability.
But it gets worse:
A lack of privacy policy, access to your X account, and guarantees about the safety of your assets.
Three risks in interacting with FriendTech that indicate the team doesn't care much about the product's sustainability:
• The platform currently has no privacy policy. If you're concerned about data theft or exposing your public key, proceed with caution.
• The application asks for permissions to access your account on X. I suggest revoking these permissions in the X settings.
• You don’t have custody of the purchased shares, which don't function in your wallet like typical NFTs. They exist only on the platform.
My thoughts:
FriendTech raises several red flags. Their history of fleeting projects is concerning. The platform makes grand promises but lacks transparency and basic guarantees. While the allure might be tempting, it's vital to approach with caution.
Most individuals will end up losing money, while some will profit at the expense of their reputation.
Anyone dismissing this as FUD (Fear, Uncertainty, Doubt) or just engagement bait doesn't understand how users' data was collected. This is why we frequently see individuals' wallets getting drained. They don't realize they were a target because their public information is heavily exploited and accessible to anyone. Black-hat hackers are always on the lookout.
Always prioritize your digital security and privacy.
Stay safe, stay informed!
Notice:
,,The information and views presented in this article are intended solely for educational purposes and should not be taken as investment advice in any situation. The content of these pages should not be regarded as financial, investment, or any other form of advice. We caution that investing in cryptocurrencies can be risky and may lead to financial losses.“