Exactly three months after pronouncing a beta model of its crypto pockets for testing, developers with SafeMoon have launched the pockets at the Google Play store.
The fee of the altcoin asset duly sprung upward 20% in a 24-hour span, as if headed to the moon. Unfortunately for the token’s holders, it has spent the last three months barreling down a cliff.
SafeMoon is a token at the Binance Smart Chain. Unlike many altcoins, it’s neither a governance token (e.G, COMP or UNI) that unlocks voting rights on a protocol nor a application token (e.G. BAT or Filecoin) that adds to a protocol’s functionality. It’s greater akin to a meme token inclusive of Shiba Inu, existing for the sheer a laugh of purchasing and selling it — and with any luck making a living from speculating.
What Happened to SafeMoon and Why Is Its Price Sinking So Fast?
But SafeMoon does have some unique characteristics. First, it taxes holders 10% every time they promote. This serves as a moderate disincentive for cashing out. Moreover, half of of that 10% tax is proportionally break up among SafeMoon holders based totally on how a great deal they own, while the opposite 1/2 is going into a liquidity pool. Last, like Ethereum, SafeMoon tokens are being steadily burned to location deflationary pressure on the asset. The purpose is to create a “safe” manner for the token to “moon” or, pass up, in charge.
That hasn’t passed off but. Since achieving an all-time excessive of $0.00001094 on May eleven, it has sputtered to an excellent-decrease fraction, dropping eighty four% of its fee — no matter a screwball declaration by Barstool Sports founder Dave Portnoy that it is his favored shitcoin.
My shitcoin announcement. Invest at your own risk. I have no idea how this works pic.twitter.com/G1iW8iZTWG
— Dave Portnoy (@stoolpresidente) May 17, 2021
One possible cause for this is that SafeMoon isn’t always smooth to get or switch — it trades in low volumes compared to other crypto inside the pinnacle 100 of market cap — as it’s no longer to be had on any fundamental exchanges.
Even the ones who have indexed the token have had problem doing so. BitMart, which first made the asset to be had in April, wasn’t capable of contain the token’s redistribution gadget till mid-May and could only replace users on their rewards each month. (PancakeSwap, chargeable for maximum SafeMoon trading, has been imparting daily redistributions.)
A wallet need to remedy for that, if achieved successfully, as it can comprise the tokenomics without delay. Holders will get their rewards — their percentage of tokens from individuals who offered — on a every day foundation into their wallet.
But such tokens have to also show themselves to a skeptical public, ever on shield for scams amidst the steals. And a few have warned that the employer’s big stake is a “manipulation danger.” Still, as a minimum for these days, as nearly each different token swims in a sea of red, SafeMoon’s holders are satisfied to be buoyed by the primary piece of tremendous information in months.
The perspectives and critiques expressed via the writer are for informational functions most effective and do not represent economic, funding, or different recommendation.
