SafeMoon, a project that caused a stir in the crypto market in 2021, has just announced plans to transform into a memecoin on Solana after burning a large portion of the SFM token supply.
SafeMoon transforms into a memecoin, launches a new token on Solana
On February 15, SafeMoon, one of the most prominent projects of the 2021 bull market, officially announced a change in direction, transforming into a memecoin on Solana.
The SafeMoon Community Has Taken Over—And It's About Time! 🚀🌕
— SafeMoon (@safemoon) February 14, 2025
Love is in the air… and so is decentralization. 💕
So hold onto your v2 $SFM, because there will be a 1/1 swap in the near future.
This Valentine's Day, we're proving our love for the community in the best way… pic.twitter.com/uxfbS7uUUV
SafeMoon stated:
"Memecoin belongs to Solana. If SafeMoon wants to live up to the potential of a pure memecoin, this is the best place to start over."
According to the project team's announcement, SafeMoon will no longer have a development team, a fixed roadmap, or any long-term vision. The project is now simply a memecoin taken over by the CTO community.
The SafeMoon memecoin contract on Solana will be announced soon, along with an automatic swap mechanism that allows a 1:1 conversion of SFM tokens to the new memecoin. However, users need to be cautious of fake memecoins and avoid trading before an official announcement from the project.
We knew the Community Takeover would be big, but WOW—the response has been overwhelming. You all commented, posted, DMed—loud and clear—you don't want to be left behind. ❤️👂
— SafeMoon (@safemoon) February 15, 2025
That sentiment matters to us. A lot.
So instead of rushing, we're holding things back just a little to…
Immediately after the announcement, a fake SafeMoon memecoin quickly appeared on Solana and, within just a few hours of its launch, reached a market capitalization of $90 million, but then quickly plummeted by 97% in value, currently standing at only $3 million.
Price fluctuations of the fake SafeMoon token, screenshot taken on DEX Screener at 02:40 PM on February 15, 2025
This move may be a last-ditch effort to help the community recoup some of their previous investments. The VGX Foundation, the company that acquired SafeMoon after its bankruptcy, stated:
"We want to provide an opportunity for the community to escape their SFM holdings, as well as help the new token get listed on exchanges again."
VGX also hopes that the new token will soon be relisted on exchanges, improving its liquidity and creating an opportunity for the community to recover a portion of their investment.
Previously, SafeMoon had carried out a large-scale token burn. Specifically, nearly 2.2 trillion SFM tokens on Ethereum, Polygon, and BNB Chain. According to VGX Foundation, almost the entire supply on Ethereum and Polygon, as well as around 60% of the supply on Binance Smart Chain, has now been removed.
Additionally, nearly 200 billion SFM were also continuously burned on Ethereum and Polygon, while 182.2 billion SFM on BNB Chain were eliminated from circulation. This significantly reduced the amount of SFM tokens in the market, easing selling pressure and creating fairer conditions for the token swap to the new token.
Everyone likes the smell of a good burn in the evening.
— SafeMoon (@safemoon) February 14, 2025
Ethereum: 998,774,950,009.1127 tokens burned here: https://t.co/IexZ720jri
Polygon: 996,289,886,046.7325 tokens burned here: https://t.co/yA2khtgWn3
Bsc: 182,216,485,248.2254 tokens burned here:…
SafeMoon was once one of the hottest projects of the 2021 bull market, with a market capitalization reaching billions of dollars at its peak. However, after numerous scandals stemming from the project team, including allegations of "pumping and dumping", SafeMoon now has a market capitalization of just over $19 million and has been delisted from most major exchanges.
Price fluctuations of the SafeMoon token since its launch, screenshot taken on CoinGecko at 03:00 PM on February 15, 2025
One of the main reasons for SafeMoon's disastrous failure is the fraud scandal caused by the founding team:
- In 2023, the U.S. Department of Justice charged the SafeMoon team with fraud allegations of hundreds of millions of dollars from investors.
- Former SafeMoon leaders were accused of withdrawing more than $200 million from the locked fund to buy luxury cars, real estate, and other extravagant assets.
- In December 2023, SafeMoon officially declared bankruptcy and was acquired by the VGX Foundation.
Compiled by Coin68
