Gain In-Depth Knowledge of SafeMoon Crypto

1. SafeMoon is treated as a meme-coin that largely trades on social media sentiment.

2. Apart from different kinds of dogecoins, the most popular "altcoin" at present is undoubtedly SafeMoon Crypto, which is a typical meme cryptocurrency.

3. As another digital currency similar to Bitcoin and Ethereum, SafeMoon was born based on a pitch that it will fix the problem of the wild price fluctuations endemic to other digital coins such as Bitcoin, Ethereum, and Dogecoin.

4. SafeMoon is now run by a team of six leaders. John Karony is the CEO, Thomas Smith is the CFO, and Trevor Church is the Community Manager. 

5. SafeMoon's extreme volatility and 10% transaction fees are both a merit and demerit.

6. Although SafeMoon is not legally a Ponzi scheme or pyramid scheme, because those early investors did not actually pay new investors, there is a reason for this comparison now.

7. The investment in SafeMoon at this stage would be pure speculation because it is not yet a token managed by a proven team.

 

You may know well words “safe” and “Moon”. But do you know “SafeMoon”?

Before getting to know SafeMoon Crypto, it is possible that we should first gain some knowledge about Meme cryptocurrencies. Meme cryptocurrencies, in general, are inspired by popular social media jokes, sarcasm, or puns. Meme cryptocurrencies feature tens of trillions or trillions amount, a great number of new users, and cryptocurrency addresses. The distribution of meme coins is fairly equitable, and its market capitalization usually starts at a very low point at the very beginning. SafeMoon is treated as a meme-coin that largely trades on social media sentiment.

About SafeMoon Crypto

Apart from different kinds of dogecoins, the most popular "altcoin" at present is undoubtedly SafeMoon Crypto. As a BEP-20 token launched on the Binance Smart Chain (BSC) ecosystem on March 8, 2021, SafeMoon became a top attraction with its feature “reward holders and punish sellers” in the market as soon as it made its first debut in early March. BSC is a centralized finance (CeFi) ecosystem and a competitor of Ethereum's decentralized finance (DeFi) ecosystem. The number of SafeMoon holders then surpassed 3K in 10 days and went over 5K in 11 days, which was indeed a staggering growth. What’s more, the total number of its holders has risen from 0 to 1.3 million (as of April 25) in less than two months!

 

SafeMoon Crypto is a typical meme cryptocurrency. Currently issued on Pancake on BSC, The original supply of SafeMoon was up to one quadrillion tokens, and it has more than 1.7 million coin-holding addresses, ranking first on the BSC. SafeMoon is distributed through IDO. Binance Coins (BNB) on IDO are all provided with liquidity and locked up as Crypto Liquidity Provider Tokens for four years. Even if a team can only buy SafeMoon through IDO or on PancakeSwap. This makes its distribution rather fair. Besides, SafeMoon owns $150,000 in terms of market capitalization. at the very beginning, but now this number has grown to over $3 billion.

When it comes to why SafeMoon Crypto is created, there's talk of "integrating SafeMoon with African markets." Rumor also has it that it is to promote NFT video games. Details on these are scarce, and no one knows whether the roadmap of SafeMoon’s joke is true or false, with CEO John Karony simply saying that "SafeMoon is going to be the fuel for the freedom of the unbanked." 

How SafeMoon Crypto Works

SafeMoon, Binance's third-largest token by market capitalization, has received increased buzz recently. As another digital currency similar to Bitcoin and Ethereum, SafeMoon was born based on a pitch that it will fix the problem of the wild price fluctuations endemic to other digital coins such as Bitcoin, Ethereum, and Dogecoin. To achieve this, SafeMoon aims to charge a 10% fee on each sale. Half of the fees collected will be reallocated to existing holders, who receive a sort of dividend in the form of extra coins. The other half will be evenly distributed, with half being converted into Binance Coin (BNB), the other half being converted into SafeMoon tokens, and then they are paired for the liquidity pool.

SafeMoon's team and its fans said that this fee motivates people to stick to the coin rather than feeling forced to sell it. “The goal here is to prevent the larger dips when whales decide to sell their tokens later in the game, which keeps the price from fluctuating as much,” SafeMoon indicated when explaining its currency. However, an audit of the security platform CertiK found it a major issue here that an owner address will get liquidity pool tokens generated by the SafeMoon-BNB pool, allowing the owner to control over the tokens funded by SafeMoon's seller fees.

SafeMoon also stated that it opted for manual burns instead of continuous burns, meaning that it intentionally removes digital coins from circulation. They have burned more than 400 trillion, and now there are less than 600 trillion SafeMoon tokens in circulation. According to the developers, manual burns allow SafeMoon to better control the supply of tokens. In theory, a smaller supply should raise prices.

SafeMoon has developed a roadmap for this year. In the first quarter, the company said it had doubled the size of its team and started marketing promotions. Next, the company plans to complete a SafeMoon application (although it is not yet clear what the application will do), a wallet and games. It also stated that it plans to explore allowing its currency to be traded on exchanges such as Binance, start to build its own exchange, expand its team by 35%, and establish a UK/Ireland office. In the second half of this year, the company said it aims to complete its SafeMoon Exchange and open a SafeMoon office in Africa.

Developers of SafeMoon

SafeMoon is now run by a team of six leaders. John Karony is the CEO, Thomas Smith is the CFO, and Trevor Church is the Community Manager. Their LinkedIn profiles show that these three members had worked together at an indie game studio named TANO (abbreviations of Technically A New Operation). Only the words "Alpha Launch Coming" can be found on TANO's site. No more details to prove if TANO is a functioning business or something yet to come.

Thomas Smith is the CTO. It seems that he has the most established work history among the six leaders, because he had worked in a number of companies as a software engineer. 

 

Source: https://safeMoon.net/#team 

Henry “Hank” Wyatt is SafeMoon's VP of research and development. He also founded a game development company, according to his LinkedIn descriptions. And he is the only team member who has obtained a four-year degree.

Jacob Smith is SafeMoon's web developer. He states on his LinkedIn that he "Worked as the lead website developer working on several of their projects. Work is on hold atm due to the lack thereof."

Merits and demerits of SafeMoon

According to its website, this cryptocurrency has three core components.

The first is reflection. SafeMoon charges transaction fees and has them distributed among token holders.

The second is that it will provide fees charged on transactions for various liquidity pools on Pancake Swap and other platforms.

The third is the burn of tokens that occurs in each transaction. Neither the white paper nor the rest of the website states the percentage of each transaction burned. It only says that a 10% fee is levied on transactions, which can be divided into two ways: half is used for reflection rewards, and 5% is used for liquidity pools. 2.5% of the 5% sent to the liquidity pool is converted into Binance Coin (BNB) to ensure the liquidity of the SafeMoon and Binance Coin pair.

SafeMoon's extreme volatility and 10% transaction fees are also a disadvantage. Experts believe that there are many tokens out there that guarantee similar functions, and there will be special promises without any guarantee. Therefore, they believe that SafeMoon and its functions are nothing special.

Besides, there are some critics of SafeMoon. Some complain that there’s not enough information about it or how it can be used. Others are raising their eyebrows as the price rises. 

For example, a Twitter account called WarOnRugs, which identifies itself as a "community based, grassroots movement" that aims to expose crypto scams, criticized SafeMoon, "Owner owns more than 50% of the liquidity and refuses to fix it," the account tweeted. "He could pull LP and sell tokens, creating a rug pull [meaning an exit scam]. Likeliness of losing all funds: Absolute."

Crypto analyst and investor Lark Davis echoed the sentiment, comparing SafeMoon to BitConnect, an investment platform that ended up being a Ponzi scheme. "Remember just because you make money off of a ponzi does not change the fact that it is a ponzi," he tweeted.

YouTuber Quinten Francois, who has more than 121,000 subscribers, said in a video that he believes that SafeMoon runs like a Ponzi scheme where early investors are making their gains simply from newer buyers in.

A Ponzi scheme or a pyramid scheme?

Unlike other blockchain projects, SafeMoon is not designed to change the world or our way of life. On the contrary, SafeMoon touts itself as "safe rid to the Moon," an investment tool designed to add value over time. In this sense, the only reason people buy and hold SafeMoon is that they expect the price to rise. However, does this necessarily make SafeMoon a Ponzi scheme or an encryption scheme?

Although SafeMoon is not legally a Ponzi scheme or pyramid scheme, because those early investors did not actually pay new investors, there is a reason for this comparison now. Just like how these two types of plans collapse when there is not enough new money coming in, financial bubbles also burst for similar reasons. When the influx of new funds stopped and the momentum slowed, people began to sell, thus "bursting" the bubble.

However, you can see that they are very similar, though bubbles are not necessarily pyramid schemes. SafeMoon is designed to make money only. It has an automatic staking and automatic burning mechanism, in which part of all transactions with SafeMoon will be transferred to other SafeMoon holders, and the other part will be removed from the total supply pool forever. This ensures that the supply of SafeMoon will continue to decrease. In turn, this should cause the safemoon price to rise.

It is precisely because of this mechanism that investors began to buy tokens, believing that it is guaranteed that the price will continue to rise. Will this continue? of course not. Sooner or later, this "bubble" will burst.

Although some people think that SafeMoon can make a penny, it seems unbelievable and unlikely. If the price does not finally plummet in the next three months, SafeMoon price may rise slowly and steadily. However, nothing is certain about these super speculative meme coins.

Is SafeMoon worth your Investment?

SafeMoon is one of the latest meme coins launched this year. However, it has made significant gains in such a short period of time and has ranked among the top 100 largest cryptocurrencies by market capitalization.

Its robust business model, deflationary supply, and development roadmap may make it one of the few meme coins that could last into the future. The success of SafeMoon depends on Binance, the SafeMoon team, and any community built around it.

However, whether to buy into SafeMoon Crypto is a personal decision and should be made based on the risk you are willing to take. The investment in SafeMoon at this stage would be pure speculation because it is not yet a token managed by a proven team. In other words, all ships will rise with the tide. If Bitcoin continues its trajectory in this bull market, then SafeMoon may also increase, and other speculative investors may push Bitcoin higher, but these are risky bets. 

If you want to learn more about SafeMoon Crypto or want to know how to buy SafeMoon Crypto, go to Gate.io. With seven years of experience in the industry, Gate. io boasts itself as a secure, transparent, and reputable digital currency exchange, and is also listed as one of the most trusted digital currency exchanges in the world. On December 1, 2021, Forbes published that Gate.io was one of the Best Crypto Exchanges Of 2021. On Gate.io, you can gain access to instant currency purchases using a credit card service from many countries or regions around the world. Gate.io is committed to helping those users who cannot use fiat currency to purchase cryptocurrency to use a Visa credit card to purchase cryptos using USD, EUR, or sterling (GBP). 

 

*This article represents only the views of the researcher and does not constitute any investment suggestions.

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