SocialFi narrative is completely shattered, with most platform tokens generally plummeting over 90%

ChainCatcher reports that, according to Our Crypto Talk, by early 2026, most SocialFi platforms will either be abandoned, acquired, or lose their functionality, with tokens dropping 90-99%, and communities evaporating instantly after incentive exhaustion. Among them, Friend.tech is the most typical, generating large amounts of fees and attention at its peak, but activity plummeted over 95% within a few months, and the token subsequently collapsed.

The core flaw is that SocialFi confuses social interaction with speculation. Platforms monetize people rather than platform currency, and users no longer focus on content quality but on whether it will skyrocket. Money has changed the incentive mechanism, incentives have changed behavior, and behavior has destroyed culture. As Vitalik Buterin criticized, SocialFi is built by market-obsessed individuals but attempts to solve problems only social thinkers can understand.