SafeMoon is an altcoin created on the Binance Smart Chain. Every time someone sells the SafeMoon token, 5% of the proceeds go back to current holders, and another 5% is destroyed. This system is designed, in theory, to reduce the supply of the token and drive up its price, encouraging investors to hold SafeMoon instead of speculating and day trading it. Some critics think the SafeMoon token is a Ponzi scheme.