Sounds like your friend has some insecurities of his own and unfortunately they have caused him to treat you badly. I would encourage you to try to forgive that if you can, since we've all got weaknesses. You may actually be able to support him and help him to be a better person in the future

I think you're right though, not having friends is better than having awful friends. I'm glad you talked to him about it, that was the right move I think.