Quick Facts:
- SafeMoon burned 2.2 trillion SFM tokens, eliminating most of its supply.
- A new SafeMoon memecoin will launch on Solana on Saturday.
- SFM holders can swap their tokens for the new meme coin via the VGX wallet.
- SafeMoon’s market cap, once $17 billion, has fallen to $41 million.
- The VGX Foundation acquired SafeMoon after its 2023 bankruptcy.
The SafeMoon team, under the VGX Foundation, has burned 2.2 trillion SFM tokens across Ethereum, Polygon, and Binance Smart Chain networks. This burn eliminated nearly 100% of the Ethereum and Polygon supplies and 60% of the Binance Smart Chain supply. The move aims to address the low liquidity that has plagued SFM since its market collapse.
SafeMoon, once a 2021 bull market favorite, is launching a new memecoin on Solana after the burning of most of its SFM token supply.
SFM holders will have the chance to exchange their tokens for the new SafeMoon meme coin via the VGX wallet. The VGX Foundation aims to list the new token on major exchanges, boosting liquidity and allowing long-time holders a chance to recover funds lost from SFM’s decline. The token launch was initially scheduled for Saturday at 1:00 AM UTC, but the team announced it had encountered some delay.
“We have had an internal delay with the contract deployment. As of right now there is no official SafeMoon token on Solana. Do not get rekt going into the wrong token!” – It said on X
SafeMoon’s Troubled Past and VGX Acquisition
SafeMoon was a major success during the 2021 crypto bull market, reaching a market capitalization of $17 billion. However, the token’s value has since collapsed to around $41 million, with most exchanges delisting it.
The decline accelerated in 2023 when SafeMoon’s former executives faced U.S. Department of Justice charges for defrauding investors, allegedly misusing over $200 million from locked funds for personal luxury purchases.
“As alleged, the defendants deliberately misled investors and diverted millions of dollars to fuel their greedy scheme and enrich themselves by purchasing a custom Porsche sports car, other luxury vehicles and real estate,” said Breon Peace, U.S. Attorney for the Eastern District of New York, in a statement in November, 2023
In December 2023, SafeMoon filed for bankruptcy and was subsequently acquired by the VGX Foundation, marking a new chapter for the embattled project.
The new date and time for the token launch are yet to be announced.
