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SAFE vs Convertible Note: Which Should You Use in 2026?

A direct comparison of SAFEs and convertible notes for seed-stage fundraising. When to use each, key differences, and why most startups choose SAFEs.

·3 min read

Quick Answer

A direct comparison of SAFEs and convertible notes for seed-stage fundraising. When to use each, key differences, and why most startups choose SAFEs.

Use a SAFE if you're a US-based startup in a standard seed raise. Use a convertible note if you're raising internationally or dealing with institutional investors who require debt instruments. In 2026, approximately 75% of US seed deals use SAFEs.

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