sam_dev 
Farcaster changes ownership for the second time in 2026, requiring users to accept new rules to continue posting.
The decentralized social network Farcaster continues to change ownership for the second time in 2026. Network School, an organization founded by Balaji Srinivasan, has taken over the platform from Neynar and plans to transform Farcaster into the “Network State Protocol.” Notably, users will have to accept a new code of conduct through a social smart contract if they wish to fully participate in activities on the app.
According to the published information, the transfer deal includes the Farcaster app, the protocol’s source code repositories, and related products. The value of the deal has not been disclosed. Neynar co-founder Rish stated that the company considered several other offers before deciding to transfer the platform to Network School.
Rish believes Farcaster needs a different operational model to move into the next development phase. After the deal, he and co-founder Manan will leave the project, while some other Neynar employees will join Network School to continue developing Farcaster.
This is the second ownership change for Farcaster this year. In January 2026, Neynar took over the platform from Merkle Manufactory, the original developer of Farcaster, after the founding team shifted focus to a cryptocurrency wallet application. The continued change of ownership just months later indicates that Farcaster is undergoing significant restructuring in its operational model and development direction.
The January deal also included Clanker, a platform supporting token launches. However, Rish’s latest transfer announcement did not specifically mention the future of Clanker. In a live broadcast on Thursday, GM Farcaster hosts Adrienne and NourishProf stated that Rish is considering spinning off Clanker into a separate project and seeking another buyer. This information does not mean that the separation or sale of Clanker has been completed.
After taking over, Network School plans to reposition Farcaster as the “Network State Protocol,” aiming to build digital communities that voluntarily participate and eventually expand their presence into the real world. This direction is linked to the concept of a “network state,” often understood as communities formed in the online environment, with their own rules and coordination mechanisms, then seeking to organize real-world activities.
The most notable change lies in how Farcaster manages users. According to the in-app announcement, users will be required to choose to accept or reject a “social smart contract,” which is a smart contract that stipulates the principles to be followed when participating on the platform.
Those who agree will receive an NFT confirming their choice on the blockchain, serving as proof of acceptance of the new terms. This mechanism brings the community rule confirmation process onto the blockchain, rather than relying solely on a notification or standard terms of use.
The new rules list behaviors that can lead to bans, referred to as “digital felonies,” or serious violations in the digital environment. The behaviors mentioned include hate speech, death threats, fraud, persistent conflict, stalking or harassing other users, and claiming AI-generated content as one’s own work. These are examples mentioned in the rules, not a comprehensive list of all cases that may be addressed.
Users who do not accept the social contract can still access Farcaster in read-only mode through the main app. According to the announced plan, their keys, assets, follower lists, and post history will be transferred to another client app, allowing continued access to related data and assets without having to accept the new rules on the main app.
This approach raises an important issue for decentralized social networks: protocol control and app control are not entirely the same. Data or assets may continue to exist on the blockchain, but the app users are using can still impose its own conditions on posting rights, interaction, and community participation.
In other words, the decentralization of the infrastructure does not mean that all apps using that infrastructure must provide the same access rights. Network School’s requirement for users to accept the new rules shows that the app operator can still establish its own governance standards, even if the platform is based on an open protocol.
In addition to the social contract mechanism, the new Farcaster app is also expected to require users to verify they are human to limit bot activity. This is part of a plan to control interaction quality and reduce automated accounts on the platform. However, the current information does not fully specify the verification method to be used or how cases that do not pass this process will be handled.
The governance changes have sparked debate within the community. Some accounts on X reported being banned after posting content related to Elon Musk, Flock camera systems, and the topic of “gay appreciation.” According to shared posts, some of the mentioned content appeared at least three months before users reported being banned.
