SocialFi merges social media interactions with blockchain-based financial mechanisms, creating decentralized ecosystems where users earn tokens through engagement and content creation. Unlike traditional platforms, SocialFi offers users data ownership, fair revenue sharing, and censorship resistance through Web3 technology and community governance. Leading platforms like Farcaster, Lens Protocol, and Audius demonstrate tokenized models enabling direct creator monetization. However, SocialFi faces significant adoption barriers including scalability limitations, regulatory uncertainty, token volatility, and complex user experiences. As blockchain infrastructure matures and interfaces improve, SocialFi represents an emerging frontier reshaping how value flows through social networks, offering viable alternatives to centralized platforms.