How do I buy SafeMoon?

Summary

• SafeMoon is the 55^th largest cryptocurrency with a market cap of US$$1,476,059,732. It was built on the Binance Smart Chain in March 2021 and is a decentralised finance (DeFi) digital currency.
• SafeMoon aims to achieve this by rewarding those who hold onto the coin while penalising those who sell.
• Since its inception in March 2021, SafeMoon has not been without its share of criticism, with some touting the peer-to-peer coin as a Ponzi scheme.
• There are no major exchanges in Australia that offer SafeMoon directly. Despite this, it may be possible to purchase SafeMoon using a different cryptocurrency such as Binance.

There is a litany of altcoins that have made a splash this year as cryptocurrency continues to advance mainstream finance.

One of these altcoins is SafeMoon, which has attracted many investors since its inception in March this year. However, it has also attracted its fair share of criticism despite attracting investors as concerns over its legitimacy have somewhat marred its reputation.

Source: © Arif77shine | Megapixl.com

What is SafeMoon?

SafeMoon is the 55^th largest cryptocurrency with a market cap of US$$1,476,059,732. It was built on the Binance Smart Chain in March 2021 and is a decentralised finance (DeFi) digital currency.

The purpose of SafeMoon’s creation was to address the issue of wild fluctuations, which are a feature of the large majority of cryptocurrencies.

Its CEO, John Karony, previously worked as a technical analyst for the US Department of Defence. In addition, SafeMoon’s Chief Technology Officer, Thomas Smith, and its community manager Trevor Church previously worked for several tech firms.

It aims to achieve this by rewarding those who hold onto the coin while penalising those who sell. Those who sell are charged a 10% fee, with 5% of that fee being distributed amongst the long-term holders. The remaining 5% is converted to Binance Coin (BNB). Essentially, this system rewards its holders and punishes its sellers.

According to the whitepaper drawn up for SafeMoon, there is a total supply of 1 quadrillion tokens, 223 trillion of which have already been burned, leaving a total supply of 777 trillion.

According to the SafeMoon website, there are currently 580 trillion coins in circulation.

The price of SafeMoon is currently US$0.00000245 as per CoinMarketCap, down considerably from its April high of US$0.00001375.

READ MORE: What is SafeMoon crypto?

How safe is SafeMoon?

Since its inception in March 2021, SafeMoon has not been without its share of criticism, with some touting the peer-to-peer coin as a Ponzi scheme, including, most prominently, founder of Barstool Sports, Dave Portnoy.

The criticism has come due to its structure which critics argue creates a breeding ground for “pump and dump” schemes.

Ponzi Pyramid Scheme (Source: © Ahasoft | Megapixl.com)

Although Portnoy himself invested thousands of dollars into SafeMoon, he urged anyone looking to get involved in SafeMoon to get in on the ground floor as it may well be a Ponzi scheme.

One thing that has helped to ease concerns over SafeMoon’s legitimacy is its availing the details of its development and leadership team. This had previously been a red flag as the creators had been anonymous, leading some to believe that SafeMoon was nothing but a scam designed to make those who got in early rich while leaving the latecomers out of pocket.

Where to buy SafeMoon?

SafeMoon is often categorised with other meme coins such as Dogecoin and Shiba Inu. However, there are no major exchanges in Australia that offer the coin directly. Despite this, it may be possible to purchase SafeMoon using a different cryptocurrency such as Binance.

Before buying SafeMoon, prospective users need to consider the risks. Most notably, users should be aware of the business model which incentivises holders and charges a penalty fee of 10% for those who liquidate. Therefore, unless the user invests in a time of extravagant growth, they should expect to hold the coin for some time before expecting to see any gains.

The upshot of this model (at least in theory) is that its incentives to its holders, assisted by its Automatic LP module, should go a long way towards providing a degree of stability not found in many of the other cryptos characterised by volatile fluctuations.

How to sell SafeMoon?

To sell SafeMoon, users are required to go to the same exchange they bought it from. From that point, the user chooses the amount of SafeMoon they’d like to sell and finally complete the sale and pay any necessary fees (different exchanges offer different fees).

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