Friends With Benefits (FWB), originally imagined as an arts community and social DAO, is finding itself at a major inflection point. What began as an experimental crypto-fueled collective is beginning to mutate into a product driven entity. The debut of “Friends With Builders” illustrates this change. This joint initiative seeks to incentivize development of real-world use cases, bringing new utility to Web3 and building beyond today’s speculative, financial-first applications. In this article, we briefly trace FWB’s strategic evolution. Most importantly, it details the “Friends With Builders” program and what it means for the larger DAO ecosystem.

A Shift in Focus: From Social to Product

FWB was originally launched in 2020 by Trevor McFedries, who is independently co-founder of Brud, the agency that created the virtual influencer Lil’ Miquela. As such, it rapidly received attention as a social DAO with worldwide reach. FWB is home to a dynamic community of more than 5,000 artists, builders, and deep thinkers at the intersection of crypto and culture. In order to gain access to this token-gated community, members need to hold 70 $FWB tokens.

FWB faced criticism, with The New York Times describing it as a "decentralized Soho House" and a "V.I.P. lounge for crypto’s creative class." Responding to the realization that it had to get beyond that original social mission, FWB has made a deliberate turn toward creating utility in the real world. This development illustrates one of the most exciting trends across the Web3 ecosystem. These days, real value is becoming the real killer app — projects that can deliver it are winning over everyday users.

Today, FWB is all about building awesome products people actually enjoyed using. Their mission is to make Web3 more than just a new home for speculative financial products. This smart repositioning reflects an evolution of the organization. Today, it is one of the most important participants across the Web3 ecosystem.

Friends With Builders: A Deep Dive

At the heart of FWB’s product-focused strategy is their “Friends With Builders” program. This intensive, cohort-based building program is aimed at helping creative technologists launch projects that harness technology to amplify the power of creativity. “Friends With Builders” is a fully funded build sprint, not a hackathon. Perhaps most importantly, it provides teams with intensive, on-the-ground support and resources, empowering them to turn their wildest ideas into reality.

The program functions in a quarterly cycle, with cohorts taking place in quarters 1, 2, and 4. During Q3, FWB welcomes a big influx of people during its annual FEST gathering on the West Coast. Featured builders receive an invaluable opportunity to showcase their craft to the community. The inaugural cohort of “Friends With Builders” will be centered on manufacturing software/application ecosystem built around AI agents.

FWB has built meaningful collaborations with Web3 tech leaders including AWS, Alchemy, ThirdWeb, QuickNode, Akave, Filecoin, Base and World. These collaborations will offer tremendous capacity, support, and resources directly to the program participants. These collaborations equip builders with developer credits and strong DevRel work. With these resources, they have access to some of the most cutting-edge technologies and expert guidance. The program invests in our state’s next generation of artists, creators, and builders. It aims to reconcile their incentives and foster a new wave of software development and creativity on the web.

Addressing Past Criticisms and Embracing Utility

FWB is taking a bigger leap. It’s jumping from a social DAO to a product-oriented one, addressing past critiques around elitism and the notion that there isn’t any real output. Friends With Builders is launching with a specific, actionable message in mind. FWB is committed to producing meaningful IRL value and meeting audiences where they are, outside the crypto-native bubble.

The heavy emphasis of the program is on utility and mainstream adoption. This same trend is evident in the Web3 space, where projects are focusing on real-world solutions to real-world challenges. FWB really believes in making products that people actually want to engage with. Their overarching mission is to make Web3 more accessible, taking it beyond niche financial use cases.

This strategic pivot is a huge win for FWB. It offers a rich and practical case study for other DAOs seeking to follow in its footsteps. By putting product development first, DAOs can increase their likelihood of succeeding in the long run. Further, they can deepen their community engagement, playing a major role in the expansion of the Web3 ecosystem.

Implications for the DAO Landscape

How FWB grew presents important lessons to any other DAOs undergoing the tumultuous challenges characterizing the vast world of Web3. Moving from a purely social engagement focus to a more product-centric approach requires delivering real value. It’s really about solving real world problems better.

Here are a few key takeaways for DAOs considering a similar transition:

  • Prioritize Product Development: Focus on building products or services that solve real problems and offer tangible benefits to users. This will attract a wider audience and increase the long-term sustainability of the DAO.
  • Foster Collaboration: Encourage collaboration and knowledge sharing within the community. This will help to accelerate innovation and ensure that the DAO remains at the forefront of the Web3 space.
  • Seek Strategic Partnerships: Forge partnerships with established companies and organizations to gain access to resources, expertise, and distribution channels. This will help to scale the DAO's operations and reach a wider audience.
  • Embrace Community Engagement: Actively engage with the community and solicit feedback on product development and governance decisions. This will ensure that the DAO remains responsive to the needs of its members and stakeholders.

By adopting these principles, DAOs can improve their probability of success. Beyond that, they will be central to Web3 ecosystem growth. Wonder FWB’s development path provides a hopeful model. It’s an example of how DAOs can grow and develop with the market to become more responsive and relevant.

FWB is taking a big, philosophical turn from social DAO that’s about connection, to product DAO. This change is a big win not only for the project itself, but for the larger Web3 ecosystem. The “Friends With Builders” initiative, with its focus on practicality and mainstream adoption, puts FWB in a strong place for long-term success. By prioritizing product development, fostering collaboration, and engaging with the community, FWB is paving the way for a new era of innovation in the Web3 ecosystem. FWB’s story is instructive for other DAOs as they consider similar paths. It provides key guidance for effectively tripling down on the successful navigation through the decentralized world.