WHAT IS SAFEMOON COIN:
Let’s dive into the details of the popular safemoon cryptocurrency coin, its features, and how to buy it on Binance. We will also discuss mining and other aspects related to safemoon.
INTRODUCTION TO SAFEMOON COIN:
Safemoon is a cryptocurrency or token that has gained significant popularity lately. It has been endorsed by various celebrities, influencers, and has sparked discussions on social media platforms like Facebook, Instagram, Twitter, TikTok, Reddit, and more. The increasing media coverage indicates its widespread attention. Even experienced crypto users have taken an interest in safemoon, engaging in discussions on platforms like Discord and Telegram.
WHAT IS SAFEMOON COIN?
Safemoon Coin, formally known as Safemoon Protocol, is a decentralized finance token. It combines elements of both finance and cryptocurrency. Like any other crypto project, there is a white paper that outlines its goals and functionality. However, it can be challenging to label something definitively as a scam in the crypto world, as scams can take various forms and be played out over a long period.
BASIC FUNCTIONS OF SAFEMOON:
Safemoon Coin operates with three main functions during a trade. Let’s consider an example: when someone holds safemoon tokens and decides to sell them. Three key actions take place:
1. Static Rewards: Also known as reflection, this function provides rewards to holders of safemoon tokens.
2. LP Acquisition: This function relates to liquidity pools and providers. It helps acquire liquidity for safemoon.
3. Burn: Despite the negative connotation of burning tokens, in the crypto space, it usually indicates reducing the supply and benefiting the community as a whole.
REAL-WORLD EXAMPLE:
To understand how safemoon operates, let’s take the example of selling safemoon tokens. It’s worth noting that the protocol discourages selling as a way to discourage it. When someone sells safemoon, a 10% automatic fee is charged. For instance, if $100 worth of safemoon is sold, a $10 fee is applied. This fee is then split in half. Half of it, $5, is distributed among existing safemoon holders as a static reward, reflecting their loyalty. The other $5 is further divided, with $2.50 added to the liquidity pool on PancakeSwap, contributing to liquidity.
UTILITY AND CONTROVERSIES:
Safemoon’s business model rewards holders and penalizes sellers, creating a sense of exclusivity due to its large total supply of one quadrillion tokens. However, controversies surround safemoon, with some labeling it as a scam and questioning its utility. The existence of other projects with similar names, such as SafeStar, SafeMars, and SafeHorizon, has also caused concern within the crypto community.
CONCLUSION:
Safemoon Coin offers a unique protocol that encourages holding and loyalty. It rewards holders and contributes to liquidity. While controversies and doubts surround it, the team behind safemoon remains active on various platforms, providing assurance to its users. Its utility and purpose are still points of debate.
