- Barstool Sports activities founder Dave Portnoy pledged his “allegiance” to safemoon with a $40,000 funding.
- He made the announcement through Twitter on Monday, publishing a video with the caption: “I do not know how this works.”
- Portnoy clarified that he is not going to promote his bitcoin holdings, stating “I do not care what Elon Musk says.”
- See more stories on Insider’s business page.
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 totally upfront about not understanding it.
Portnoy on Monday printed a video on Twitter captioned: “I do not 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.”
However earlier than he selected, Portnoy, who known as himself the “baron of bitcoin” within the video, clarified he won’t ever promote his bitcoin holdings.
“I’ll by no means waiver in bitcoin. I do not care what Elon Musk says,” he mentioned.
“However occasions within the final couple of days and weeks have made me suppose I’ve to get entangled in one thing past bitcoin.”
The Barstool Sports activities founder was referring to Musk’s surprise reversal on allowing Tesla to accept bitcoin as cost on Could 12.
“I am gonna choose one and I am gonna change into a frontrunner,” 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 might 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.
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Safemoon is up by roughly 300% within the final 30 days, in accordance 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 at the moment has a $4.6 billion valuation.
Safemoon is a decentralized finance token that has the tagline “Safemoon to the Moon” in accordance with its website, the same slogan trumpeted by dogecoin followers. “To the moon” has been spouted by celebrities including Musk.
In contrast to others, nevertheless, Safemoon encourages buyers to carry. On its web site, it mentioned holders will earn passive rewards by “static reflection.”
This implies the workforce behind Safemoon plans to make the reward depending on the amount of the token being traded. Safemoon in truth costs these promoting it a ten% exit payment and distributes half that payment to different holders.
Regardless of this, many stay cautious in regards to the speedy rise of Safemoon, in addition to different altcoins. To this point, there are about 6,000 cryptocurrencies in circulation, in accordance 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 should have the same 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.