Understanding SafeMoon SWaP Transactions

Updated: Sep 26

Let's look at how to understand SafeMoon SWaP transactions at the blockchain level. We will break down each portion of a buy or sell transaction step by step using BSCScan.com, so you are able to understand each transaction of your own. Before you look to understand a transaction from the SafeMoon SWaP, we would advise you to read our SafeMoon Contract Guide and SafeMoon Wallet Guide, as both guides will help you better understand parts of a SWaP by SafeMoon transaction.

When you perform a transaction with the SWaP by SafeMoon, it provides a transaction that is stored publicly on the blockchain. SafeMoon currently operates on the Binance Smart Chain (BSC) at the time of writing this. BSC allows you to view the public blockchain easily over at BSCScan.com. It might seem daunting at first, but once you understand the basics, it's relatively simple. This guide will break down a transaction with the SWaP by SafeMoon using bscscan. Once you have performed a transaction, that transaction information will appear in the tokens list. Simply click on the token from the Wallet Tab, and it will list all of the purchase transactions for that token. For example, if you're swapping into SafeMoon, you'd Click SafeMoon. If you were swapping out of SafeMoon, you'd click the chosen token you plan to SWaP.

Once you have navigated and clicked a token, you will see all of your transfers for that token on the SafeMoon Wallet. From there, clicking any of those transactions will reveal more details in the wallet. Then directly under those additional details, you will find "view transfer on BSC"

Now that you have opened a transaction on BSCScan, let's break down a regular SafeMoon SWaP transaction and explain what's happening with the various transaction events displayed.

Your Initial transaction

1) WBNB is sent from the SafeMoon SWaP: Router to the SFM/WBNB liquidity pool. This is the WBNB that is to be swapped for SafeMoon by the address that initiated the transaction.

SafeMoon Swap Fees

2) With the 0.25% swap fee, LP tokens must be minted as liquidity is added to the liquidity pool. Here they are minted and then sent to a null address. These LP tokens are now burned, and the liquidity they represent can never be removed.

3) Another part of the 0.25% swap fee is added to the liquidity pool, and more LP tokens are minted, representing the added liquidity. Instead of being burned, these are sent to the SFM Liquidity Provider address.

SafeMoon Contract Fees (SafeMoon Tokenomics)

It is important to know that a total of 10% tax is applied on swaps with SafeMoon, the SafeMoon Tokenomics. Below you will find the explanation of where 6% of that fee goes. But there is the remaining 4%, which isn't going to show on a transaction. This 4% is the reflection distributed within the SafeMoon Contract to all holders.

4) 3% of the SFM tokens are sent from the SFM/WBNB liquidity pool to the SFM V2 contract address as part of the 10% buy/sell tax. These are the tokens that will be going back into the liquidity pool through Swap and Evolve.

5) 1% of the SFM tokens are sent to the SafeMoon ecosystem growth fund as part of the 10% buy/sell tax.

6) 2% of the SFM tokens are sent to the burn wallet as part of the 10% buy/sell tax. These tokens are now removed from the circulating supply forever.

Final delivery of your chosen tokens

7) The remaining tokens are then sent from the SFM/WBNB liquidity pool to the address that initiated the swap transaction. This completes the transaction and delivers you your tokens/coins, which, in this example, you receive your SafeMoon.

As a final note, not every transaction will look the same. This article's example was a regular swap transaction when swapping into SafeMoon. This is in no way official, and it's merely my interpretation of the available blockchain data.



Explorer - Senior Moderator