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How do I buy SafeMoon?

Daily Express logo Daily Express 24/04/2021 Myriam Toua

SafeMoon is still relatively new, having only been launched in March 2021, meaning risks to investment remain high. Technically, SafeMoon isn't a cryptocurrency but actually a DeFi token, according to its website. DeFi means decentralised finance token, a very complex concept but essentially, DeFI aims to disrupt the financial world in an effort to let people follow and lend in peer-to-peer networks without the need for a bank. Just as Bitcoin does, SafeMoon uses technology called blockchain.

SafeMoon claims it will reward people who buy and hold on to the cryptocurrency, while those selling will receive a penalty.

The crypto coin's Facebook page says: "Remember, getting to the moon takes time and the longer you hold the more tokens you pick up."

SafeMoon charges sellers a 10 percent fee of the total amount of cryptocurrency they're trying to get rid of.

The crypto firm claims to then reward investors who don't sell by redistributing five percent of the money gained from the penalty.

READ MORE: Ethereum 'inches towards new highs' as crypto steals the spotlight

How do I buy SafeMoon? © Getty How do I buy SafeMoon? a hand holding a cellphone: How do I buy SafeMoon: Man on phone © Getty How do I buy SafeMoon: Man on phone

These multi-level marketing techniques utilised by SafeMoon means it requires more buyers to keep purchasing if the price is to stay high.

SafeMoon is still a very elusive company, especially as cryptocurrency firms are not regulated.

This means that you won't have any form of financial protection if things were to go wrong.

Investing is always a risk no matter the company you're putting money into, but cryptocurrency is an even higher gamble as markets are extremely volatile.

SafeMoon's founders are based in the US, where unlike the UK, there are some regulations in place around the sale of cryptocurrencies.

How do I buy SafeMoon: Crypto on a chart © Getty How do I buy SafeMoon: Crypto on a chart

How do I buy SafeMoon?

SafeMoon can be bought by investors online.

This can be done by setting up a crypto wallet on the Binance Chain Network and adding Binance (BNB) coins to your account.

From here, users can essentially swap BNB for SafeMoon tokens.

As with most cryptocurrencies, there have been mixed reviews so far on the success of SafeMoon purchasing.

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a person using a laptop: How do I buy SafeMoon: Man on laptop © Getty How do I buy SafeMoon: Man on laptop

One Reddit user warned: "I completely agree that once they get listed on an exchange this could easily blow up."

In October 2020, Brits were banned from buying some cryptocurrencies after a spike in the number of people losing money after bad investments.

The Financial Conduct Authority (FCA) warns people about the risk of investing in cryptocurrencies, referencing price volatility; product complexity; charges and fees; marketing materials and consumer protection.

Essentially, it's very hard to tell which companies are real and which ones are scammers parading as legit firms.

SafeMoon's surge in value comes after Dogecoin's price increased 91 percent in 24 hours, following Elon Musk's tweet about the crypto coin.

All together, Dogecoin has seen a 20,000 rise in value from this same time last year.

The cryptocurrency, which started off as a joke based on a dog meme, has risen 35 percent in the past month to close to 20p per unit.

Dogecoin's success comes despite the currency not being listed on any cryptocurrency exchange platforms.

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