On August 22, friend.tech announced that it was going to rename the shares to “keys”. According to the team, the keys better illustrate the meaning and purpose of the platform, because they are used to “unblock” chats.
We’ve renamed Shares to 𝗞𝗲𝘆𝘀. The original name was a placeholder during development and we think Keys better illustrates their purpose as in-app items used to unlock your friends’ chatrooms pic.twitter.com/phkZky13VL
— friend.tech (@friendtech) August 21, 2023
Experts suggested that the name change may be related to the policy of the US Securities and Exchange Commission (SEC). This is reported Decrypt with reference to the comments of lawyers.
SEC Chairman Gary Gensler has labeled many digital assets as securities and has referred to them as “stocks” on numerous occasions. The new name “keys” will allow the asset to pass the Howey test and not be considered as a security, the lawyers explained.
In their opinion, the friend.tech model resembles the stock market. In the same way that shareholders of public companies receive dividends, influencers can share the fees with buyers.
The app does not currently have a privacy policy. When registering, users give friend.tech permission to view and publish messages, reposts.
Risks for users
Previously a participant in the Yearn Finance project under the nickname Banteg published on GitHub a database containing information about users of the Friend.tech platform. The file contains addresses of wallets in the Base network, nicknames of owners in X, and funding sources.
Banteg pointed to the risks associated with access to personal information. He believes that the users of the project have given permission to publish messages on their behalf.
The social network team has denied the claim that more than 100,000 customers’ data was leaked. The specialists explained that the information was obtained after cleaning the public API.
This is just someone scraping our public API that shows the association between public wallet addresses and public Twitter usernames.
It’s like saying someone hacked you by looking at your public Twitter feed.
Irresponsible reporting from @TheBlock_ and @vishal4c https://t.co/GIXOWazqBk
— friend.tech (@friendtech) August 21, 2023
It is noteworthy that Banteg’s post came out after the publication of the analytical company Spot On Chain. Experts have warned that the friend.tech API exposes certain data that is not immediately available to ordinary users of the application.
1. The invitation code and the app do nothing with the contract:
From the FriendTech contract https://t.co/Cnn9pbwo3s
You can actually buy or sell directly on etherscan by linking your meta mask:
– call getBuyPrice to get the latest price
— call buyShares to buy a share
– call…— Spot On Chain (@spotonchain) August 21, 2023
Spot On Chain clarified that this information can be used to purchase account shares before other users.
On August 22, 2023, friend.tech ranked second in daily fees, according to data DeFiLlama.
Earlier, the service hinted that it was going to attract investments from a large investment fund Paradigm. The venture capital firm has invested in projects such as Blur, Cosmos and Optimism.
The friend.tech social network operates on the second-level Base blockchain. The application allows influencers to monetize the audience through the sale of shares, and users to access closed channels of communication. Each visitor to the platform can issue their own shares or trade existing assets.
Source: Cryptocurrency
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