SafeMoon Rises from Ashes: New Memecoin Launches on Solana After Massive Token Burn
1min read SafeMoon, the once-popular cryptocurrency project, is set to launch a new memecoin on the Solana (SOL) network after burning a significant portion of its SFM supply. The move comes after the company's acquisition by the VGX Foundation following its bankruptcy in 2023.
The SafeMoon team has burned approximately 2.2 trillion SFM tokens across the Ethereum, Polygon, and Binance Smart Chain networks. This action has effectively eliminated almost the entirety of the Ethereum and Polygon supplies, as well as around 60% of the Binance Smart Chain supply. SFM holders will be given the opportunity to exchange their tokens for the new SafeMoon memecoin through the VGX wallet.
The VGX Foundation has stated that the purpose of this swap is to allow community members to exit their positions. The hope is that the new token will be listed on exchanges again, and liquidity will increase sufficiently for investors to potentially recuperate some of their funds.
SafeMoon's history is marked by a meteoric rise during the 2021 crypto bull market, with its token reaching a market capitalization of $17 billion at its peak. However, the project has since faced numerous challenges, including delisting from almost every exchange and a fraud case involving its former executive team. The team was accused of withdrawing more than $200 million from supposedly locked funds to purchase luxury cars and homes. The company eventually declared bankruptcy in December 2023 and was acquired by the VGX Foundation.
