Is this safe to run in a interior of a two story house from the basement and if so what would be the precautions I should take

If you are starting with this chimney at the basement ceiling, then you'll need the decorator ceiling support. If there is an attic space, the attic insulation shield is needed. That will take care of the attic space & the attic floor joist space (or 2nd story ceiling). The attic shield includes a built-in, drop-down joist shield. If there should be another ceiling / floor penetration point, then a firestop joist shield would be needed. To safely transition from stove pipe to chimney, use the stove pipe adapter. Use lengths of JSC chimney to go from the basement's ceiling support & all the way above the roof. At the roof, use a roof flashing that matches the pitch of your roof. The rain cap will finish the pipe run. If there is 5' or more chimney sticking above the roof, use a roof guy kit. We have helpful installation guides on our www.selkirkcorp.com website under the SuperVent Chimney link.