Friend.tech — Crypto Twitter's VIP lounge
A fun experiment into social financialisation
Welcome to The Metadata. We’ve got a spicy issue today. But first..
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Today we cover:
DeGods gets hit, falling almost 50%. What can we learn from this?
Friend.tech is CT’s VIP lounge. We tell you what need to know about the latest social phenomenon
What’s actually wrong with NFTs?
Market Update: DeGods Gets Hit
If there’s anything the past few months have taught us, it’s the golden rule: always sell-the-news on major NFT events. Remember Azuki? It led the charge, plummeting more than 70% after the Elementals mint.
Now, DeGods, hailed as one of the mightiest NFT communities of our time, has followed in Azuki's footsteps. It's taken a nosedive, falling almost 50% over the past week to a floor price of 4.8 ETH after the Season 3 launch.
What the heck is going on?
Overleverage on Blend loans, with almost 400 outstanding loans prior to the S3 launch
High levels of anticipation almost always lead to disappointment (art reveal not up to expectations, holders have to pay to participate in Season 3)
Not enough buying interest in the NFT bear market. Many people have checked out.
Now, don't get me wrong. It's not that DeGods isn't doing anything interesting. In fact, they're cooking up some really cool stuff. But its a sign of the market conditions today. Buyers beware.
Friend.tech: CT’s VIP lounge
This week, we take a dive into the latest trend: friend.tech
Built on Base, friend.tech is like a VIP lounge for Twitter influencers looking to monetize their communities. You link your Twitter account to friend.tech, and voila! Your account turns into social tokens that others can buy shares of in ETH. It's like trading cards, but with a twist: these shares represent a stake in your popularity. The more shares bought, the higher the price.
Here's a quick snapshot of some jaw-dropping stats:
6,977 ETH in volume ($12.9M)
348.9 ETH in fees generated ($645K)
291,057 total transactions
Not bad for an app that's just 5 days old, right?
Peak transactions? Over 100K in the first 2 days! Since then, things have cooled down to around 20K transactions per day. There's still a steady buzz of activity. We’re keeping an eye on the D14 user retention rates – that's how many people are still hanging around 14 days after creating an account.
One silver lining: the number of active buyers still significantly outnumbers the number of active sellers. Always a good sign.
No shocker here: the top accounts are your favorite CT influencers. But here's the kicker: their numbers on friend.tech are just a drop in the bucket compared to their public Twitter following. None have hit the 100-holders mark yet. Why? Well, the price tag gets a bit steep as the number of shares goes up.
And speaking of prices, they've been on a rollercoaster ride. Cobie's at the top of the leaderboard with a floor price of 1.12 ETH, having soared to almost 2.5 ETH at one point.
🤑 Why it matters: Friend.tech is an experiment in the gamification and financialization of a social platform, enabled by crypto. We’ve seen something similar with Bitclout, a crypto celebrity network that launched in 2021 but faced a lot of controversy with the scraping of celebrity Twitter profiles and regulatory concerns.
The name of the game? Get in early, snag shares of top influencers when they join by watching the global activity feed like a hawk. It's a bargain if you're one of the first few holders. But once the party gets going, you'll need deep pockets to keep up.
There’s also a potential airdrop coming up so it might pay off to keep active on the app.
This Friday, we'll begin airdropping reward points to app testers. Points are collected off-chain during the beta period and will have a special purpose when the app enters official release status
100,000,000 points will be distributed over six months
— friend.tech (@friendtech)
Aug 14, 2023
Will this be just a flash in the pan or an enduring platform? Only time will tell.
Our Favourite Tweets
🐥 What happens under the hood in DeGods Season 3: “Downgrade”
The @DeGodsNFT Season 3 "Downgrade" is now live.
Many of you have opinions on the artwork, but very few of you understand how upgrading works under the hood.
Here's how the @dust_labs team and I worked together to build a secure and efficient upgrade process for Season 3 🧵:
— cygaar (@0xCygaar)
Aug 13, 2023
🐥 Spicy news: y00ts returns the $3M grant from Polygon and migrates to Ethereum. Floor prices has fallen almost 50% since last week.
1. y00ts will be migrating to Ethereum.
— y00ts (@y00tsNFT)
Aug 9, 2023
🐥 Fingerprints DAO launches its NFT membership token. It’s also a cool piece of generative art.
Meet the Voxelglyph by @larvalabs, in partnership with Fingerprints (a thread).
In addition to representing DAO membership via NFT format, the Voxelglyph is an intricate, complex structure and artwork.
Let’s explore it — but first, let’s look back in time.
— Fingerprints (@FingerprintsDAO)
Aug 10, 2023
🐥 More auction lots on Sotheby’s, including a Fidenza, Archetype, Ringer and CryptoPunk
Sothebys opened 22 more lots from the 3AC collection.
Lots close 16 August 2023 14:00 EDT / 20:00 CET
Link below 👇
— Rodo (@0xRodo)
Aug 9, 2023
🐥 Pixel Vault acquires Wolf Game. Guess who this deal was brokered by? Beanie
Thrilled to announce the acquisition of @wolfdotgame! 🐺
It was a no-brainer. I had to make it happen.
There is such synergy between @pixelvault_, @wolfdotgame, and @rebootgg_ in our goals to change the gaming landscape.
But make no mistake, this will be community led:
— gGFunk (@Gfunkera86)
Aug 8, 2023
🐥 Zynga, a large web2 gaming platform, announces its 1st Web3 game
Zynga announced its first Web3 game, Sugartown.
With ∼200 million monthly active users, this is the catalyst web3 gaming needs.🧵(1/7)
— S4mmy.eth (@S4mmyEth)
Aug 14, 2023
🐥 Drip introduces creator rewards. Get paid for creating cool stuff.
🌟 Introducing Creator Rewards.
For eligible creators, we now pay you for EVERY. SINGLE. COLLECTIBLE.
Focus on making great content. We'll get you paid.
How does it work? 👇
— DRiP 💧 (@drip_haus)
Aug 8, 2023
🐥 An honest take on what’s wrong with NFTs. It’s been a wild ride.
-Yuga burnt $150mm due to poor execution of otherwise. Assets are down 90%+
-Doodles abandoned their community and focused on equity holders only. Also tell your community to sell and fck off is pretty important. Imagine Google telling people to sell and fck off. Stock… twitter.com/i/web/status/1…
— Wizard Of SoHo (🍷,🍷) (@wizardofsoho)
Aug 13, 2023
New Projects / Mints
🍿 Palio: “your very own digital buddy! Your forever AI BFF for you to interact, discover and play with!”
🍿 YogaPetz: “Building a Web3 Wellness Ecosystem, APP & Platform”. Minting on 31 August
🍿 Mighty Labs Pioneers: “Multi-tier Wild West themed DAO accelerating community-driven web3 innovation”. Minting 24 - 27 August
That’s it, folks. Hope you enjoyed this edition and we’ll see you on Thursday.
What do you think of today's newsletter?
Disclaimer: This newsletter is for educational purposes only. None of this is financial or investment advice. It is not a solicitation to buy or sell any assets. Minting and buying NFTs is risky. Please do your own research