Accusations of “pump-and-dump” fraud and other alleged shenanigans involving the crypto token SafeMoon (SFM) saw the coin’s price plunge 50% in a fortnight in the middle of April 2022. So what does this mean for a SafeMoon price prediction today? This article will show you what does safemoon mean in crypto and what is safemoon price.
SafeMoon’s most interesting feature is that anyone who sells a SafeMoon coin will be subject to a 10% sales tax, with 5% redistributed to people who are still holding their coins, and the other 5% burned. This encouraged people to hold on to their coins. The SafeMoon price had already fallen from $0.008185 to$0.001151, after an earlier accusation by Fineisen that Ben Phillips, a former SafeMoon influencer and the company’s former chief marketing officer, had orchestrated an alleged $12m “pump-and-dump” fraud, promoting SafeMoon while at the same time selling millions of the tokens.
Following the latest claim, the price crashed by another 28% and the coin was trading at $0.0005898 on 19 April. The SafeMoon price then rallied 197% in the weeks to 26 May and set a swing high at $0.00109. At the time of writing on 9 August 2022, the price is trading at $0.0004078.
Legitimacy of SafeMoon
Concerns have been raised over the legitimacy of SafeMoon. Its unique structure, which encourages people to hold on to the coin, coupled with its relative newness, have drawn questions from some experts – with some analysts dubbing it a Ponzi scheme. There was also the fear that since SafeMoon CEO John Karony holds around half of the liquidity, he could easily get rid of it, thus rendering the coin worthless. However, Karony had claimed that the liquidity pool will only be used for emergencies, and that the funds could end up seeding exchanges that trade SafeMoon or fund future products. Earlier this year, SafeMoon replaced its chief blockchain officer, Thomas Smith, with a new team, stating that the handover process started last September. On 8 March 2022, it was then revealed that SafeMoon’s vice-president Charles Karony had stepped down from his position, in order to return to university and complete his degree. In terms of its recent upgrade, the idea was to consolidate the old SafeMoon – SAFEMOON – by a ratio of 1000:1, meaning that the value of the new SFM coin would be higher than the old one, but also that existing holders would not lose out. The migration was not automatic, so SAFEMOON holders will have to convert their old crypto to SFM.
The story so far
SafeMoon launched on 8 March 2021 with an initial price of $0.000000001. As with all new things, people started to get interested, and the price soon reached $0.00000157 on 3 April. It stayed around this price for about two weeks, but then things started to move significantly.
On Friday 16 April, it stood at $0.000001, but over the course of a couple of days, it more than doubled, hitting just under $0.0000029 by the early hours of Sunday 18 April. While this price growth seemed pretty impressive at the time, it was nothing compared to what happened next.
The value of SafeMoon
The value of SafeMoon rocketed, hitting a high of $0.00001375 on the evening of Tuesday 20 April. That is an increase of 375% in the space of a little over two days.
To put things even more starkly, if you had bought into SafeMoon when it was launched, then you would have seen the value of your investment shoot up by a stratospheric 1,374,900%. Basically, if you had bought a dollar’s worth when it launched and sold at its peak on 20 April 2021, just over a month after it became available, you would have ended up a millionaire, even after your SafeMoon sales tax had been taken.
The mega-boom was short-lived, however, and the price gradually declined from the end of May. On 28 August 2021, the beta launch of SafeMoon Wallet suffered technical difficulties and the price went from $0.000003508 to $0.000002519 over a day, according to data from CoinMarketCap.
Next came October, which saw the SafeMoon price jump a massive 355%, from $0.000001386 at the start of the month to $0.000006302 on 29 October. There was further volatility in November, but then the V2 upgrade was launched on 12 December 2021. At the time of the switch to SafeMoon V2, it was standing at about $0.0000016. While the new SFM token has garnered most of the attention, the old SAFEMOON is still traded and, by 7 February 2022, it was worth a little under $0.0000013. This particular token’s maximum supply of one trillion was all in circulation, and it had a market cap of around $754m, making it the 254th-largest crypto by that metric.
Meanwhile, the new SFM coin stood at $0.001639 at the start of trading on 16 December 2021, and it was immediately hit by problems, falling to an all-time low of $0.0000002453 on 18 December. That glitch was soon sorted out, and the coin started to grow, reaching a price of $0.002558 at the end of the year.
SFM looked like it was going to be a coin which defied the bears that were dominant in the crypto market at the time, and it reached an all-time high of $0.007232 on 4 January 2022. The coin looked like it was still going to maintain a level of between $0.002 and $0.003, but support ebbed away in late January and has been very volatile since. As of 9 August 2022, the SFM price stood at roughly $0.0004078.
Hope this article can provide you with a further understanding about what does safemoon mean in crypto and what is safemoon price.
