According to analysts at K33 Research, crypto enthusiasts are eagerly seeking the next breakthrough in the Social Finance (SocialFi) sector, although it remains uncertain if the "SocialFi season" has fully arrived.

In a recent research report penned by K33 DeFi analyst David Zimmerman, the focus has shifted to emerging SocialFi apps, despite challenges stemming from what he describes as "perverse incentives" within the sector.

Following a recent airdrop by Friend.tech, attention has now turned to a new SocialFi application called Fantasy Top, built on the Ethereum layer-2 network Blast. Fantasy Top introduces a gaming aspect where users can trade virtual cards of crypto-affiliated X accounts, participating in tournaments for rewards such as ETH, Blast's GOLD token, native "fan points," and additional card packs.

While Fantasy Top presents a potential opportunity, Zimmerman cautions that the SocialFi sector is marred by issues related to incentivization. Influencers, for instance, receive direct incentives to promote the platform, earning a percentage of trading volume and pack sales, along with Blast GOLD and "FAN points."

Despite several layer-2 network launches on Ethereum, Blast has managed to maintain relevance, particularly due to its aggressive airdrop program.

Additionally, Zimmerman highlights the emergence of Sanko GameCorp, a lesser-known streaming and gaming platform offering Sanko Dream Machine and SankoTV. With its own L3 in development, Sanko GameCorp may become a significant player, especially amidst a backdrop of anti-VC sentiment in the crypto community.

However, Zimmerman cautions that the sector is not without its pitfalls, as evidenced by the recent turmoil surrounding Friend.tech's airdrop, where technical issues and token selling discrepancies led to user outcry.

As the crypto community continues to explore SocialFi innovations, it remains to be seen how these platforms will evolve amidst ongoing challenges and shifting market dynamics.