A known cryptocurrency whale has spent around 5,200 Ethereum ($ETH) tokens to buy more than 11.1 million worth of the native token of the SocialFi project Friend.Tech ($FRIEND), in a bet that ended up in a 95% loss for the whale.
According to data shared by on-chain analytics firm Lookonchain, popular cryptocurrency whale and influencer Machi Big Brother spent the around $16.7 million worth of the second-largest cryptocurrency by market capitalization ETH on $FRIEND tokens, acquiring 11.1 million at the time.
The collapse of SocialFi’s popularity during the cryptocurrency market correction has seen the price of FRIEND plunge around 95% over the past year, having seen a peak above the $3 mark to now trade at just $0.08 per toke.
As a result, Machi Big Brother’s FRIEND token holdings that were once worth nearly $17 million are now worth around $700,000.
While the price of FRIEND tokens has been declining for some time, the value of the tokens recently plunged after the developers behind the SocialFi platform gave up control of its smart contracts, effectively locking the system and preventing any further changes to it.
In a post on the microblogging platform X (formerly known as Twitter), the platform’s develoeprs noted that the change “does not affect the separate web client operated at friend.tech which will continue to function as is. No fees from either smart contracts or friend.tech currently go to the friend.tech dev team multisig.”
Featured image via Unsplash.
