Safemoon giving old holders mere hours warning before levying a 100% tax is not only immoral, but flies in the face of Cryptocurrency in general.

For anyone that needs a quick catch up, Safemoon has moved to a V2 of their token for “Reasons”TM

This new contract has a 1000:1 reverse split of tokens, meaning 1,000,000 Safemoon V1 becomes 1,000 Safemoon V2, but so far out of the ~3,000,000 wallets holding V1, only 300,000 have moved over so far (You can see more stats in my last post on this subject) This is still pretty trash if you consider that there’s just over 1m Safemoon holders with anything more than back-of-the-couch change in their wallets, therefore the conversion rate of people with what you could call a beginning of an investment is just 30%.

There have been various methods to encourage holders to move from V1 to V2, but over the past two weeks there has been a huge arbitrage opportunity where people could freely buy X tokens on V1 (losing 10% on the buy), swap them to V2 and sell them at a higher price (losing another 10%, but overall being more than 20% up and making some free profit)

This has caused a problem with an easy fix – just remove the liquidity on V1 so people can’t buy it at all, and put the liquidity on V2. For some unknown reason, this isn’t happening and there’s still liquidity issues on V2. Plus the fact the contract is unaudited means holders are naturally quite wary.

So the solution from brainiac Karony & co? Simply tax everyone 100%

The best news is that this was introduced mere hours before the change went live, so anyone that attempts to move from one wallet to another will find all their Safemoon tokens drained.

There are two problems with this:

The total and utter lack of clarity, first there was no tax, then a 20% tax, now a 100% tax?

The fact that under no illusion of being an actual Cryptocurrency, the centralised team at Safemoon decide to impose a massively punitive measure which can have consequences for those who don’t follow the social media messaging. No vote, no consensus, “My way or the highway”.

It’s just another brick in the shit-wall really.