When an adjective already ends in -ly (e.g. cowardly, elderly, fiendly, kindly, lively, lonely, lovely) we don't add -ly to make an adverb. Instead we can use a prepositional phrase with fashion, manner, or way:
- He smiled at me in a friendly way.
- She waved her hands around in a lively fashion.
(Advanced Grammar in Use, Martin Hewings)
However, according to the Concise Oxford English Dictionary we can write friendlily.