SafeMoon has a focus on decentralised finance (DeFi) and has attracted a fast-growing community with its innovative token economics. It was created by John Karony who is stated as being the CEO of the Safemoon Company. In this guide, we will look at how to purchase the SAFEMOON token and why it has proved so popular around the world.
SAFEMOON hasn’t yet been listed on any major crypto exchanges, it’s not as a straightforward process as other cryptos but you can easily buy it from a decentralised exchange (DEX) such as PancakeSwap using these simple steps.
First, register with a regulated exchange. You can find our recommendations in the “Where to Buy SafeMoon” section or sign up with our top choices now in the table below. You will likely need to supply a photo ID and/or proof of address to complete the KYC process.
You will need to buy BNB that you can swap for SAFEMOON later. Go to the deposit page to fund your account using your desired payment method such as credit or debit card. Find the trading pair for BNB and the fiat currency you just deposited, and create a buy order for the amount of BNB you want to purchase.
Set up a wallet that is compatible with Web 3.0, such as MetaMask or Trust Wallet (SafeMoons developers recommend Trust Wallet which can be downloaded from the Google Play or App Store). Send your BNB to your new wallet by going to your platform’s withdrawal page, pasting your wallet address into the receiving address box, and clicking “Withdraw”.
Now head over to PancakeSwap (A popular decentralised cryptocurrency exchange) and click the “Connect Wallet” button. Make sure the network your wallet is using is Binance Smart Chain and follow the on-screen instructions to give PancakeSwap permission to connect with your wallet.
Go to “Trade” and set the “From” currency as BNB and the “To” currency as SAFEMOON. Enter how much you wish to buy, in either BNB or SAFEMOON, making sure you have enough BNB to cover the purchase and the fee, then make the swap.
SafeMoon is a decentralised finance (DeFi) token that has attracted a strong following since its launch in March 2021. The project aims to tackle issues faced by other cryptocurrencies by providing rewards to incentivise long-term holders and ensuring there is always sufficient liquidity on decentralised exchanges (DEXs).
SafeMoon achieves this with its innovative token economics. Every SAFEMOON transaction incurs a 10% fee, half of which is redistributed to all SAFEMOON holders as a form of passive income. The rest is sent to PancakeSwap—half as SAFEMOON and half after being sold for BNB—to ensure there is always sufficient liquidity for the SAFEMOON/BNB trading pair.
Nearly a quarter of the SAFEMOON tokens went to the developers, who burned them (permanently removed them from circulation ) before launch. Some of the redistributed tokens also go to a burn wallet, making SAFEMOON deflationary.
You can purchase SAFEMOON for the short term or the long term. Both options have the potential to result in profits, with investors’ aims and experience informing which route they choose.
The buy and hold strategy is the simplest to execute and is pretty self-explanatory. Skills such as technical analysis aren’t required and investors can make a profit without committing much time or effort.
The good thing about token holding SAFEMOON for the long term is that 5% of every transaction is “reflected” to SAFEMOON holders, meaning the longer you hold SAFEMOON, the more passive income you earn.
A private wallet may be the safest place to store tokens that you’re going to be holding for the long term as it gives you total control over your assets and can provide an extra layer of security.
Free software wallets are user-friendly and can be downloaded for computers and mobiles but are high risk. The recommended software wallet form the SafeMoon developers is Trust Wallet. Hardware wallets such as Trezor, BitBox, and Ledger can be expensive but provide the best security. Make sure to check that your wallet supports SAFEMOON before transferring your tokens.
If you’re looking to buy and sell SafeMoon on the regular then it’s vital that you not only choose a secure wallet but also one that will allow you to makes transactions as fast as you’ll need. Make sure to factor in that hardware and paperwallets are much slower to use that software ones.
The price of SAFEMOON has been particularly volatile in the past and this is something traders can benefit from by buying and selling it over shorter timeframes. More skill, effort, and time are required to be a successful trader, especially if you’re looking at day trading. For more detailed predictions, read our SafeMoon price prediction guide here.
If you are going to be making regular trades, a private wallet may be less convenient as it would mean regularly transferring your tokens. Crypto exchanges provide web wallets for free, which may be more suitable for traders.
This is something you will have to decide for yourself after considering all the information at hand. SAFEMOON has a capped max supply, with nearly a quarter of tokens being burned before launch. Some of the tokens redistributed with each transaction are also burned. This gradual reduction of the supply is designed to make the token more valuable over time.
The redistribution of tokens to all wallets containing SAFEMOON provides an incentive for people to buy the token and hold it for the long term value, meaning a smaller supply of tokens available on the market. This could be beneficial for SAFEMOON’s long-term price.
There are also plans afoot for a SafeMoon exchange, which could increase the utility of the SAFEMOON token. With the innovative token economics and the ongoing project development, SafeMoon could prove to be a popular and valuable enduring project. Future Plans for Safemoon include charity projects as well as crypto educational apps and even an NFT marketplace.