Non-custodial wallet Safe launches Safenet; SAFE token staking is now live

Safe Foundation announced the launch of Safenet on April 2. This is a decentralized trading security verification network for users of Safe non-custodial wallets. Under this framework, independent verifiers will assess transactions according to predefined security rules before execution and publish cryptographic proofs. SAFE token holders can delegate their assets to verifiers to earn staking rewards, becoming the first real economic use case beyond governance.

How Safenet Works: The On-Chain Transaction Verification Layer That Intercepts Attacks

Safenet adds an independent verification layer into the Safe wallet transaction execution process. When a user initiates a transaction, network verifiers evaluate it according to “predefined security rules.” Transactions that pass verification obtain cryptographic proofs. After the Safe Guard smart contract module installed in the user’s account verifies the proofs, execution is allowed. If there is no valid proof, the protection module will block the transaction. Users can bypass this mechanism after a delay waiting period with an explicit additional approval from the owner.

Safe co-founder Richard Meissner said: “Attackers have long exploited the gap between users’ signed content and their true intent. Safenet bridges this gap at the protocol layer.” Its design goal is to prevent common attack vectors such as network phishing, malicious code deployment, and address spoofing at the source.

Safenet uses a Byzantine Fault Tolerance (Byzantine Fault Tolerance) mechanism, which can tolerate abnormal behavior from up to one-third of verifiers in the network, and is not controlled by any single institution. The six genesis verifiers at the start of the testnet release are:

Greenfield、Gnosis、Safe Labs、Rockaway、Blockchain Capital、Core Contributors GmbH

Each party stakes at least 3.5 million SAFE tokens (as of the time of publication, market value is about $345,000), as a backing for network security with real economic incentives

Upgrading the SAFE Token’s Function: From a Governance Tool to a Yield-Generating Asset

Safe Ecosystem Foundation chair Lukas Schor said that Safenet’s credibility partly comes from the fact that there are “genuine economic interests behind it.” SAFE noted that this is “the first truly economic function of the SAFE token beyond governance,” marking the token’s transformation from a purely governance tool into an economic asset with practical utility.

Currently, SAFE token holders can delegate assets to the genesis verifiers to participate in network security maintenance and earn staking rewards. The staking user interface went live officially on Thursday. However, the specific reward distribution mechanism, the slashing terms, and the fee-based reward structure are still pending SafeDAO review and approval before they can be implemented.

In terms of platform scale, in 2025 Safe added 18.3 million smart accounts in total—averaging one new account deployed every 1.7 seconds. The user base covers institutions such as the Ethereum Foundation, Circle, and Coinage. Safe Ecosystem Foundation expects its annualized revenue in 2025 to exceed $10 million and reach break-even soon.

Frequently Asked Questions

What is a non-custodial wallet, and why is Safe its representative platform?

Non-custodial wallets allow users to fully control their own private keys and assets, with funds not managed by any third party. Safe is one of the most widely used non-custodial multi-signature (Multi-Sig) wallets, with a cumulative processing volume of more than $1 trillion in transactions. It is adopted by institutions such as the Ethereum Foundation and Circle, and is one of the industry standards for on-chain institutional asset management.

How does Safenet protect Safe users’ transaction security?

Safenet adds an evaluation layer made up of independent verifiers before transaction execution, reviewing transactions according to predefined rules and publishing cryptographic proofs. After the Safe Guard smart contract module on the user’s account verifies the proofs, execution is allowed. It prevents common attacks such as address spoofing and malicious code injection at the protocol level, rather than relying only on warning message prompts to users.

How do SAFE token holders earn returns through Safenet?

SAFE token holders can delegate assets to Safenet verifiers, participate in network security maintenance, and earn staking rewards. The staking UI is live, but the specific rewards mechanism, slashing conditions, and fee allocation structure are still awaiting SafeDAO review and approval to be formally implemented.