Executive Summary
Safe leads in modular smart account infrastructure, empowering developers to build diverse applications and wallets. It enables universal and open contract standards for the secure custody of digital assets, data, and identity, democratizing digital account ownership. Safe envisions a future where individuals possess total control and flexibility over digital assets. The company aims to transition from passive interaction to full ownership of digital identities, financial assets, digital art, and other assets. Safe’s objective is to establish smart accounts as the standard, with its strategy for achieving this goal evolving in two key areas.
About the Project
Vision – Their mission is to turn every web3 user account into a ‘smart account.’
Problem – Ethereum primarily relies on Externally Owned Accounts (EOAs) for interactions, where transactions are authenticated using private keys. However, EOAs are rudimentary, lacking in sophisticated functionalities, and necessitate users’ comprehension of private key management, gas fees, and other technical intricacies, thereby presenting challenges in terms of accessibility and security.
Solution – Safe introduces Smart accounts, which utilize smart contracts for authentication, enabling flexibility and programmability. This innovation opens up a new dimension of customization, user-friendliness, and diverse use cases. It makes Account Abstraction accessible to both users and developers alike.
Safe Features
- Safe Core: Safe Core is an open-source and modular account abstraction stack designed to integrate smart accounts into digital platforms seamlessly. It comprises the Safe Core SDK, API, and the Safe Smart Account, providing developers with flexible and secure capabilities for creating innovative applications.
- Safe Core SDK: The Safe Core SDK equips developers with tools to interact with Safe Smart Account contracts, create new Safe accounts, update configurations, and execute transactions. It encompasses five distinct kits: Protocol Kit, Auth Kit, Relay Kit, Onramp Kit, and API Kit. These kits cater to various functionalities such as account management, authentication, transaction relaying, and API interaction.
- Safe Modules: Safe Modules are smart contracts that extend Safe’s functionality with custom features while maintaining separate module logic from core contracts. These modules can include features like daily spending allowances, recurring transactions, and standing orders, enhancing the flexibility and usability of Safe accounts.
- Safe Guards: Safe Guards are pre- and post-transaction checks that ensure the security and integrity of Safe transactions, enhancing trust and reliability in the system.
- EVM compatible: Safe supports EVM chains, facilitating interoperability and integration with existing blockchain networks, further enhancing its utility and versatility in the digital ecosystem.
Market Analysis
The evolution of blockchain technology has witnessed remarkable and exponential growth, culminating in a current valuation of $2.6T. Optimistic forecasts suggest that this growth will continue. However, many individuals still need help navigating the complexities of the crypto world. Safe is poised to offer a solution. Accessible via web, desktop, and mobile apps, Safe aims to democratize digital ownership of accounts by establishing universal and open contract standards for the custody of digital assets, data, and identity. This initiative addresses a fundamental challenge faced by the entire crypto ecosystem. Safe faces competition from emerging players such as Rhinestone.
Investors
Traction
According to the latest data from their website, the platform has processed 53M transactions, deployed 8.6M accounts, and stored accounts worth over $100B. This remarkable level of usage demonstrates the platform’s significant impact. Furthermore, the platform has forged partnerships with major networks such as Base, Polygon, zkSync, and Arbitrum, underscoring its widespread presence and influence in the industry. With a fully diluted valuation (FDV) exceeding $1.5B, the platform has emerged as a significant player in the crypto world.
Token
$SAFE is the native token of the Safe platform, offering users various functionalities and benefits within the ecosystem. One key feature is the ability to lock $SAFE tokens, which rewards users. Additionally, token holders can stake their tokens, further engaging with the platform and potentially earning rewards. Another critical aspect of holding $SAFE tokens is the right to governance, allowing token holders to participate in decision-making processes within the Safe platform.
The max supply of $SAFE is 1 billion.
Where can you buy the token?
$SAFE can be brought from Coinbase Exchange, OKX, and OrangeX.
Team
The company’s founders bring significant experience and expertise to the blockchain domain, particularly from their time working on the development side at Gnosis. Moreover, the team members, who are equally skilled and experienced, complement the founders’ strengths. Their collective knowledge and proficiency create a robust foundation for the company, ensuring it is well-equipped to tackle the challenges and opportunities in the rapidly evolving blockchain industry.
Conclusion
Safe‘s efforts to address a crucial issue in the crypto world have not gone unnoticed, as evidenced by its substantial traction and impact. The project’s success can be attributed to a combination of factors, including its robust team and investor support. This strong foundation has propelled Safe to a prominent position in the market, highlighted by its impressive $1.7B. As Safe continues to innovate and expand its reach, its influence in the crypto space will likely grow even further, solidifying its status as a critical player in the industry.
Fundamental Analysis | |||||
Assessment | |||||
Problem | Moderate, somewhat persistent problem | 2 | |||
Solution | Distinct, defensible solution | 3 | |||
Market Size | Large market, significant growth potential | 3 | |||
Competitors | Emerging market with few strong competitors | 3 | |||
Unique Value Proposition | Clear differentiation and value for customers | 3 | |||
Current Traction | Solid traction, user engagement and retention growing | 3 | |||
Unit Economics | Positive unit economics, with plans for further improvement | 3 | |||
Tokenomics | Solid token strategy, aligns with user incentives | 3 | |||
Product Roadmap | Unclear or unrealistic product roadmap | 1 | |||
Business Model | Proven business model with clear path to profitability | 3 | |||
Go-to-Market Strategy | Solid GTM strategy, clear target market and channels | 3 | |||
Regulatory Risks | Minimal regulatory risk, strong mitigation and adaptability | 4 | |||
Total | 70.83% |