SafeMoon burst onto the cryptocurrency scene in March 2021 and has already caught the attention of investors after some impressive price movement. Looking ahead to the remainder of 2021 and beyond, it seems that the token is being touted as a major opportunity for returns and the project has some upcoming developments that could establish it as a major player on the crypto market.
The token itself has been labelled a meme coin, in the same vein as Shiba Inu and Dogecoin. Whilst many investors are reluctant to back this arguably more volatile breed of cryptocurrency, 2021 has shown us that the community-driven approach of these projects can lead to significant price growth in a short space of time.
Whilst Dogecoin has led the meme-coin revolution, SafeMoon actually offers far more than a simple value exchange. The project has several unique features and, whilst it may not be the most advanced platform on the market, it has the credentials to take the meme coin trend to the next level.
In the following article, we’ll be taking a closer look at the project and considering its credentials as an investment opportunity. As 2021 draws to a close, the hunt is on for the cryptocurrencies that are likely to see success in the year ahead.
With this in mind, we’ve put together 5 reasons why Safemoon might just double your money in the coming years.
1. Meme Coins Are More Popular Than Ever
Meme coins have had a fairly unusual journey in the cryptocurrency saga. Dogecoin started the trend back in 2013, having been set up as a way of satirising the hysteria surrounding crypto investment at the time. However, the joke backfired somewhat as DOGE ended up being quite a hot investment property in its own right.
However, the trend appeared to be short-lived and the idea of meme coins was all but forgotten until 2020. By this stage, Dogecoin had proven its longevity and had amassed a loyal following of die-hard supporters, who were notoriously vocal across social media and discussion platforms. With this in mind, projects like Shiba Inu emerged to try and muscle in on DOGE’s success.
Things really took off in 2021, after a Reddit-driven campaign, along with a timely comment from Tesla mogul Elon Musk, saw the price of Dogecoin soar by several thousand per cent in just a few weeks. This established meme coins as a legitimate investment opportunity and inevitably saw attention turned to other projects in this space.
SafeMoon was launched in March - at the height of DOGE-mania - and quickly established itself as a major name. In April, SAFEMOON soared by over a thousand per cent. If this wasn’t impressive enough, the token then went on another bull in May, this time reaching a record high that was an increase of more than 1500% on its price just 6 weeks earlier.
It’s safe to say that 2021 has shown us the potential of meme coins and, although they remain a risky investment, they are proving extremely popular - even with the more conservative investor.
2. Safemoon Has Plenty To Offer
The cryptocurrency market has changed dramatically over the course of the last 12 months and, whilst Bitcoin continues to hold the number one sport, it seems that the days of cryptocurrency being a simple digital alternative to cash are over. Now projects are expected to offer more than a means of simple value exchange.
SafeMoon arguably represents a new generation of meme coin as it not only offers a legitimate cryptocurrency with all the usual decentralised fundamentals, but the team behind it also seems intent on building a wider DeFi infrastructure around the namesake token.
Aside from its unique reward mechanism, which we will look at later, SafeMoon is gearing up to launch its own proprietary exchange, which promises to deliver a ‘revolutionary’ new approach to what the team behind SafeMoon call cryptonomics.
In addition to the upcoming DeX, SafeMoon is also launching a specialist hardware wallet for storing cryptocurrency and the project’s developers have even signalled their interest in the game tech industry, by setting up a dedicated SafeMoon server for the popular online game, Minecraft.
Check Out: Pros and Cons of Investing in SafeMoon
Crypto asset investing is highly volatile and unregulated in some EU countries. No consumer protection. Tax on profits may apply.
3. Safemoon Has Great Branding
Being a meme coin means Safemoon’s success rests on its ability to generate a strong following. Tokens like Dogecoin and Shiba Inu owe much of their success to a loyal community. Dogecoin was fortunate enough to be the only notable meme coin for many years, whilst Shiba Inu has managed to gain a foothold in the market thanks to excellent branding.
SafeMoon has boldly described itself as ‘The Fastest Growing Crypto Community on Earth’ and its branding is centred around a space theme, playing into the popular ‘to the moon’ phrase that has come to be associated with significant bulls in the cryptocurrency market.
The team behind SafeMoon has done a good job of communicating the more sophisticated aspects of the project, whilst managing to maintain an eye-catching and suitably light-hearted approach. Whilst a good website and quirky cultural appeal won’t convert directly to price growth, they are a key factor in building a wide appeal and fostering a loyal community.
So far, SafeMoon’s approach seems to be working. The project’s unofficial subReddit already has almost 300,000 followers and there have already been some impressive surges in its token price.
4. Safemoon Potentially Offers More Stability
A key tenet of the SafeMoon project is that it has in-built mechanisms to contribute towards price stability. This is an important difference between SafeMoon and other meme coins like SHIB and DOGE. Whereas investors in other meme coins must try and predict sudden surges - which often involves day trading and/or shortselling, SafeMoon actually encourages the holding of its native token.
How does it do this? Well, anyone selling SafeMoon tokens faces a 10% fee. A proportion of this fee is then redistributed amongst the remaining SAFEMOON holders. In theory, this will reduce high volume selling of the token and in turn, could also reduce volatility.
In addition, SafeMoon also uses the fees charged for selling the token to maintain liquidity, which again services to stabilise its price on the market. There is also a manual burn protocol, which sees a certain amount of SafeMoon locked away in a burn wallet, permanently removed from circulation.
The SafeMoon protocol may well offer a certain amount of stability, but investors should remember that volatility is what makes the cryptocurrency market so unique. However, stability is a relative term and in theory, the SafeMoon protocols could simply serve to bring it in line with the wider cryptocurrency market and hopefully create a price floor.
5. Safemoon Allows You To Earn Passive Income
As we’ve discussed, SafeMoon charges a 10% fee to anyone selling the coin. Half of this fee is then redistributed amongst existing token holders, which effectively rewards those holding the token over the long term. This is perfect for those who like to see their crypto tokens put to work, rather than simply sitting in a wallet with the hope they will appreciate.
However, there’s more. There is also the SafeEarn protocol. This is a separate entity from SafeMoon but it effectively works in conjunction with SafeMoon’s reflection system and increases the reward for token holders. Once again, this is likely to appeal to those who are into liquidity farming as it makes a great way to earn passive income from SafeMoon.
The rewards system is another reason that SafeMoon stands out amongst other meme coins and with the imminent arrival of the SafeMoon exchange, which promises yet further rewards, it seems that SafeMoon is keen to offer investors a multi-faceted cryptocurrency that can compete with the bigger value exchange tokens on the market.
What Are Analysts Predicting For Safemoon In The Coming Months?
SafeMoon trades at a minute per-token price, with each SAFEMOON worth just a fraction of a penny. However, when it comes to growth, investors are interested in percentages - and it seems that many forecasts for this meme coin are optimistic.
DigitalCoinPrice, for example, has SafeMoon’s price almost doubling in the next few months - up around 98% by the end of Q1 2023. It then sees the token continuing to perform well over the next couple of years, potentially increasing by up to 200% by 2025.
Elsewhere, Finally, TradingBeasts also believes that SafeMoon could double your money in the near future. It has the token attaining 100% growth in 2023, before potentially doubling again by 2024.
Of course, these price increases are by no means guaranteed, but they will be welcomed by anyone hoping to double their money with an investment in SafeMoon. Generally, these forecasts are on the optimistic side and should not influence your decision on whether to actually buy SafeMoon, but they certainly are a vote of confidence from some top industry analysts.
Crypto asset investing is highly volatile and unregulated in some EU countries. No consumer protection. Tax on profits may apply.
Expert Opinions On Safemoon
Whilst opinions of notable figures - even those highly regarded in the cryptocurrency industry - should never form the basis of an investment strategy, they are a good way of gauging current sentiment for a project - and this is particularly relevant to a project that has effectively pegged its hopes on building a following.
So what are people saying about SafeMoon? So far, a few questionable social media celebrities, including Jake Paul, Jesse Wellens, Daniel Keem and DJ AfroJack have expressed their support for SafeMoon. Whilst these figures may not be known for their financial intelligence or investment savvy, the facts are that they do have large social media followings and their support could yield significant exposure for SafeMoon - and amongst its target market at that.
When it comes to genuine expert opinions - the jury is still out on meme coins. Whilst Chris Kline, co-founder of Bitcoin IRA, acknowledges that "they're part of the evolution of digital finance in their own unique way," he adds that he is uncertain as to how many meme coins the industry can sustain.
Meanwhile, Sidharth Sogani, founder and chief executive officer, Crebaco Global, a research, rating, and intelligence company focused on the blockchain industry, warns that “there are no fundamentals driving the prices, as these are just community tokens.” He adds that “these are pump and dump coins, which don’t have any use cases.”
Don't Miss: SafeMoon Price Predictions
Conclusion - Is Safemoon A Good Investment In 2023?
So, can Safemoon double your money in 2023? If analysts are to be believed, you may not have to wait long to see 100% growth from the token - perhaps just 6 months, according to some forecasts.
Projects like Dogecoin and Shiba Inu have already demonstrated the power of a loyal community, both having experienced substantial price runs in 2021 and both amongst the largest cryptocurrencies in terms of market capitalisaion. With its emphasis on stability and upcoming DeX, there’s every reason to think that SafeMoon has what it takes to compete in the niche field of meme coins.
Investors should bear in mind that meme coins are largely unproven in terms of longevity. Whilst Dogecoin has been around since 2013, it is only recently that the trend has really taken off and no one knows how long it will last - particularly if new meme tokens continue to launch.
We think there is a lot of potential with SafeMoon, but it is probably best viewed as a high-risk investment and should only be considered as part of a diversified cryptocurrency portfolio. Investors will also need to ensure they keep an eye on the SafeMoon community, as this will be the deciding factor on whether the project proves to be a success.
5 Reasons Why Safemoon Could Double Your Money - FAQs
Does Safemoon have a future?
Many industry experts have questioned the long-term viability of meme coins. However, whilst they might lack the use-case fundamentals of some of the bigger smart chains, it’s worth noting that the only point of reference we have for this new breed of token is Dogecoin - a token that has seen its biggest successes in 2021, some eight years after launching.
Will Safemoon double my money in 2023?
There are no guarantees when it comes to the price movement of a given asset - particularly in the cryptocurrency sector. However, we have seen several analysts predicting that SafeMoon will double over the next 6 - 12 months and there is certainly a lot of hype surrounding the project and its upcoming developments.
How do I invest in Safemoon?
The best and simplest way to invest in SafeMoon is to acquire some tokens. You’ll find it listed on several top exchanges and fairly easy to get hold of. However, investors should remember that there is a fee involved in selling SafeMoon and be sure to factor this into any investment strategy.
Is Safemoon better than Dogecoin?
Dogecoin is still the king of the meme coins - but its days at the top could be numbered. Compared to both SafeMoon and Shiba Inu, Dogecoin has a limited offering. Whilst community is everything in the world of meme coins, it’s safe to say that SafeMoon has the advantage over its predecessor when it comes to technical particulars.
Are meme coins a safe investment?
The cryptocurrency market is notoriously volatile and meme coins are arguably more so than the average token. As always, investors should approach the market with caution and not invest any funds they cannot afford to lose. Meme coins may be capable of significant growth, but it would be foolhardy to ever consider them a safe investment.