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Is SafeMoon Dead In 2024?

Posted on Oct 13, 2024
Is SafeMoon Dead In 2024?

Is SafeMoon dead in 2024? We're diving deep into the state of the once-hyped cryptocurrency, covering everything you need to know about what happened to SafeMoon, its current standing, and whether concerns around it being a scam have any merit.

After a meteoric rise in 2021 fueled by social media buzz and promises of revolutionary tokenomics, SafeMoon's popularity has significantly waned. The token faced multiple setbacks, including technical challenges, declining investor interest, and ongoing legal battles. The SafeMoon lawsuit involving accusations of misleading marketing and mismanagement has further damaged its credibility, raising questions among investors.

However, it's important to note that SafeMoon isn’t entirely "dead". While the excitement has cooled, the SafeMoon community and developers continue to push updates, such as the SafeMoon wallet and the SafeMoon V2 upgrade, SafeMoon news updates, hoping to rekindle interest. This SafeMoon news has been a key factor in keeping the community hopeful. Still, the project struggles to regain the momentum it once had.

What is SafeMoon?

SafeMoon was a cryptocurrency that proclaimed unique features and attempted to stand out in an otherwise crowded market using celebrity endorsements. Some of the features the token claimed to have included:

  • Static Rewards: SafeMoon used a static reward system where 50% of tokens from transaction fees (typically 10%) are redistributed to existing token holders. This incentivizes holding rather than frequent trading.
  • Manual Burn: To increase scarcity and potentially boost the price, SafeMoon implemented a manual burn mechanism, systematically reducing the supply of its tokens.
  • Self-Sustaining Liquidity Pool: SafeMoon had a built-in liquidity pool mechanism where tokens collected from fees were added to the liquidity pool on PancakeSwap, enhancing the token's stability and tradability.

SafeMoon V2

In December 2021, SafeMoon introduced an updated version of its token, SafeMoon V2. This new version consolidated the original tokens at a ratio of 1:1000 and reduced transaction fees to 2%, making transactions cheaper. Users holding the original SafeMoon tokens can manually switch to V2 through their wallets, while exchanges manage the migration process for tokens held on their platforms.

SafeMoon received endorsements from celebrities including social media personality and boxer Jake Paul, film producer Brett Ratner, and DJ Afrojack.

As we’ll discuss in this article, while SafeMoon claimed to have these features, in reality, many of the features were not developed or secure.

What Happened to SafeMoon?

SafeMoon has had a turbulent few years, with key events including:

  • March 2021: SafeMoon was launched with the slogan "Safely to the moon", referencing the crypto community's desire for tokens to "quickly rise in price". Initially, it had no utility or dedicated team.
  • March - April 2021: Following endorsements from celebrities like Lil' Yachty, Nick Carter, and Logan Paul, SafeMoon's value increased by 23,225%. Despite its popularity, SafeMoon had no real-world use, and celebrities promoting it faced a class-action lawsuit for their involvement in what was branded a pump-and-dump scheme. After this surge, Braden John Karony was appointed CEO.
  • May 2021: SafeMoon announced "Project Phoenix", aiming to provide technological solutions in The Gambia. The project was managed by a company run by Karony’s mother. However, it was later discontinued due to alleged supply chain problems, a claim disputed in an ongoing lawsuit.
  • June - October 2021: SafeMoon began beta testing its wallet, which critics claimed was a copy of the Trust Wallet. The wallet was officially released on Google Play in September and on the App Store in October. Thomas Smith, the CTO, left SafeMoon in December 2021 amid fraud allegations.
  • December 2021: SafeMoon launched Version 2 (SafeMoon V2) of its token, consolidating the original tokens at a 1:1000 ratio and reducing transaction fees. A decentralized exchange, SafeMoon Swap, was also introduced. Plans for a SafeMoon debit card were announced but delayed.
  • 2022: SafeMoon faced multiple class-action lawsuits accusing it of being a pump-and-dump scheme. In April 2022, investigator Stephen "Coffeezilla" Findeisen accused SafeMoon of misappropriating funds from the liquidity pool. SafeMoon announced plans for various projects, including a cryptocurrency exchange, which faced delays.
  • March 2023: Hackers exploited a flaw in SafeMoon's liquidity pool, resulting in a loss of $9 million worth of tokens. After negotiations, the hacker returned $7 million, keeping $2 million.
  • November 2023: A federal indictment charged CEO Braden John Karony, founder Kyle Nagy, and former employee Thomas Smith with securities fraud, wire fraud, and money laundering. The indictment alleged they misled investors and misappropriated funds from the liquidity pool. Karony and Smith were arrested, while Nagy remained at large.
  • December 2023: SafeMoon declared Chapter 7 bankruptcy and shut down, marking the end of its tumultuous journey. Throughout its existence, SafeMoon faced criticism for its lack of utility and allegations of being a meme coin and a potential Ponzi scheme.

Was SafeMoon a Scam?

Allegedly, yes. With proceedings against two of the founders ongoing and another founder still at large, it’s not yet known definitively whether SafeMoon was a scam, despite there being many common indicators that it is. At best, the project may have been managed extremely poorly; at worst, SafeMoon may have been a Ponzi scheme.

Should I Invest in SafeMoon?

Given the current legal proceedings against SafeMoon, it’s very unlikely that SafeMoon is a good investment. Additionally, the majority of crypto exchanges have halted trading for the token, making it difficult to buy or sell. If you are wondering where to buy SafeMoon, it's recommended to check smaller exchanges that might still support limited trading. Investors are advised to proceed with extreme caution, if at all.

Can I Buy SafeMoon? Where to buy SafeMoon is also an important question for those still interested.

The vast majority of crypto exchanges have halted trading for SafeMoon, and the few that are still allowing trades have extremely low liquidity for some trading pairs (i.e. SFM/USDT). As such, it’s unlikely you’d be able to buy SafeMoon in 2024. Even if it is technically available, the lack of liquidity makes purchasing SafeMoon highly impractical.

Is SafeMoon Dead?

In all likelihood, yes, SafeMoon is dead. SafeMoon is no longer listed on the majority of exchanges, and trading volume has almost ceased. The founders declared bankruptcy in 2023 and there are ongoing legal proceedings against three project members.

Is SafeMoon a scam? Opinions vary. While some argue that SafeMoon was overly hyped with unrealistic promises, others believe it was simply a high-risk investment in an unproven space. With the ongoing lawsuit and lack of substantial progress, investors should be cautious, thoroughly researching before making any decisions.

Stay tuned for more SafeMoon news today as we continue to track updates on its current status, leadership changes, and potential recovery.

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Any questions?

Currently, buying SafeMoon (SFM) is highly unlikely in 2024 as most exchanges have halted trading. The few that still list SFM have very low liquidity, making transactions impractical.

SafeMoon V2, launched in 2021, was an upgraded version of the original token. It consolidated the original tokens at a 1:1000 ratio and reduced transaction fees to 2%, making it more affordable for users.

The key figures behind SafeMoon were CEO Braden John Karony and token founder Kyle Nagy. Both Karony and Thomas Smith, a former employee, have been charged with securities fraud, wire fraud, and money laundering. Nagy has also been charged but is currently at large.

Given the numerous allegations, including accusations of a pump-and-dump scheme and a Ponzi structure, it’s doubtful that SafeMoon was a legitimate project. Legal actions against the founders further support these concerns.

SafeMoon is unlikely to be a wise investment. It has limited availability due to halted trading on most exchanges, almost nonexistent liquidity, and ongoing legal issues involving key personnel. Investing in SafeMoon poses significant risk

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