A new type of cryptocurrency called SafeMoon is gathering interest amongst enthusiasts, search trends show.
Little is known about the cryptocurrency so far, though developers have held live Ask Me Anything (AMA) meetings to answer some questions.
Launched this month, SafeMoon claims it will reward people who buy and hold on to the cryptocurrency and issue a penalty to those who sell it on.
This article is not intended as financial advice and should not be taken as such.
Its Facebook page states: “Remember, getting to the moon takes time and the longer you hold the more tokens you pick up.”
Going “to the moon” is a phrase popularized in recent times by the WallStreetBets community on Reddit, who use it in reference to an asset price soaring.
The mechanism by which SafeMoon rewards participants involves issuing a 10 percent penalty tax fee on sellers and redistributing five percent of this to people who already own the currency.
One Reddit user claimed a whitepaper—a report that highlights the features of a product such as a cryptocurrency—is available on the website, but others said they had trouble accessing it.
The SafeMoon website appeared to be down at the time Newsweek tried to load it. The organization said website issues may occur due to “unexpected” demand.
To buy SafeMoon, cryptocurrency users have to buy a Binance Coin (BNB) first, and then essentially swap it for SafeMoon.
First, users must set up a crypto wallet in which their coins can be kept. For SafeMoon, either Trust or Metamask are the two wallets the organization says should be used.
SafeMoon states: “Set up your wallet to work on the Binance Chain Network. Buy BNB on your Binance account.
“Withdraw BNB to your wallet address and be sure to select the BSC Network (BEP20). Visit pancake swap. Connect your wallet to pancake swap. Before you swap please ensure you click the gear icon and set slippage to 11%. Press swap. Confirm the transaction on your wallet and hold!”
Some cryptocurrency enthusiasts are excited about the coin, whilst some are skeptical.
One reddit user said: “I completely agree that once they get listed on an exchange this could easily blow up.”
YouTuber Xpod78 in a buying guide said: “This is so incredibly risky, this is like the top bar of risk you can get. Fully expect to lose every single dollar you put into it; I feel like that disclaimer is much needed.”