‘I have no idea how this works’: Barstool Sports founder Dave Portnoy just made an admittedly uninformed $40,000 investment in cryptocurrency Safemoon – and the coin is soaring | Currency News | Financial and Business News
Barstool Sports activities founder Dave Portnoy has pledged his “allegiance” to Safemoon, a brand new altcoin that launched in March this 12 months – though he is absolutely upfront about not understanding it.
Portnoy on Monday printed a video on Twitter captioned: “I don’t know how this works.”
Within the opening of the two-and-a-half-minute movie, Portnoy requested viewers to guess which coin he invested $40,000 in primarily based on six hats specified by entrance of him, representing six altcoins, which he labeled the “new breed of sh*tcoins.”
“I am gonna decide one and I am gonna change into a pacesetter,” he mentioned. “I cannot promote any within the close to future – I’ll keep it up. I’ll trip it both to the stratosphere or hell on earth.”
Portnoy, in a press conference-style presentation, lastly revealed that he selected Safemoon.
“Why? I do not know f**king why, it could possibly be a Ponzi scheme,” he mentioned. “I just like the phrase ‘moon,’ as a result of that is the place I wish to go.”
The video has garnered two million views as of publishing.
Safemoon is up by roughly 300% within the final 30 days, in keeping with CoinGecko. Searches for the cryptocurrency peaked early on April 20, as momentum was meant to be constructing behind dogecoin’s failed “Doge Day.”
The coin climbed 26% to $0.00000800 at round 2:10 p.m. ET Tuesday. It presently has a $4.6 billion valuation.
Safemoon is a decentralized finance token that has the tagline “Safemoon to the Moon” in keeping with its website, an analogous slogan trumpeted by dogecoin followers. “To the moon” has been spouted by celebrities including Musk.
In contrast to others, nonetheless, Safemoon encourages traders to carry. On its web site, it mentioned holders will earn passive rewards by “static reflection.”
This implies the crew behind Safemoon plans to make the reward depending on the quantity of the token being traded. Safemoon in truth costs these promoting it a ten% exit charge and distributes half that charge to different holders.
Regardless of this, many stay cautious in regards to the speedy rise of Safemoon, in addition to different altcoins. Thus far, there are about 6,000 cryptocurrencies in circulation, in keeping with CoinGecko.
“Many view it as a pump-and-dump coin,” Edward Moya, senior market analyst at forex platform Oanda, told Insider. “Safemoon’s preliminary buzz began off as many anticipated it’ll have an analogous rise like dogecoin. It appears unlikely Safemoon will ever make it to the moon.”
Portnoy continued to tweet all through the day about his Safemoon funding, following it up with another video that reiterated his stance.