Challenging the king of meme coin i.e Dogecoin, here comes Shiba Inu coin. A new meme coin in the crypto industry. The name of the coin is taken from the Japanese famous dog breed “Shiba”. There are lot of speculations around its working environment and price prediction. Many investors are waiting for Elon Musk tweets to watch the coin being pumped in value. But does this coin have what it takes to be the next big thing or is it just a fad with a poor use case? In this post, I will discuss this and everything related to the Shiba Inu coin. Let’s jump right in –
Watch the Complete Video on Shiba Inu Coin –
Origin of Shiba Inu:
Shiba Inu is a decentralized cryptocurrency project that was created in August 2020 by anonymous developer or developers who calls themselves “Ryoshi”. The project is debuted as “Dogecoin Killer” which was the first meme coin created to mock cryptocurrency.
According to Ryoshi, the Shiba Inu project is an experiment in community governance and decentralization. Though the project was launched as a meme token, its ecosystem has expanded into Shibaswap DEX that gave birth to the new ERC20 tokens LEASH and BONE.
What is Shiba Inu Coin?
Shiba Inu is an ERC20 token that was created on the Ethereum blockchain to initially compete with Dogecoin. It began as a fun currency and now has shifted its vision to create a complete decentralized ecosystem on similar lines that of Uniswap Exchange.
Shiba Inu has a total supply of 1 quadrillion of which 50% of the supply was initially sent to the cold wallet of Ethereum’s founder “Vitalik Buterin”. The remaining half was locked in the Uniswap for safekeeping.
There are total of 400 trillion SHIB tokens in circulation
What is ShibaSwap | SHIBA Inu Ecosystem:
ShibaSwap is a decentralized exchange by the SHIBA team. In early 2021, this announcement was made in the SHIBA whitepaper “WOOF PAPER“. Just like its flagship SHIB token, ShibaSwap is totally built on the Ethereum blockchain.
SHIB will be the first coin to be listed on ShibaSwap along with the introduction of two new ERC20 tokens i.e LEASH and BONE. According to the whitepaper, the reason for creating ShibaSwap is to build a Decentralized Ecosystem (DECO) by providing users and community members a safe place to trade cryptocurrencies while remaining decentralized, something in line with popular DEXes like Uniswap and SushiSwap.
Since LEASH and BONE are two integral tokens of ShibaSwap, it is important to highlight the use case of each one of them –
LEASH:
LEASH a.k.a DOGE Killer is an ERC20 token which is created specifically to reward the users engaging with ShibaSwap. It is an incentivized token that will be rewarded to the users who DIG (provide liquidity) or BURY (stake) tokens on ShibaSwap.
Apart from it, there’s no such use case of this token. The supply of LEASH is limited to 107,646 tokens, making it scarce, hence resulting in a price rise as seen below –
BONE:
BONE is an ERC20 token that is used for governance on ShibaSwap. It plays a similar role on ShibaSwap as played by UNI on Uniswap and SUSHI on ShushiSwap. The holders of the token will have the right to vote on the upcoming proposals on DOGGY DAO.
The total supply of BONE is limited to 250 million tokens. BONE is not available to trade publically at the time of writing this post.
Vitalik Buterin Shiba Inu Coin Burn:
Ryoshi sent half of the initial supply to Vitalik Buterin wallet without his knowledge or consent. During the pandemic crisis, Vitalik donated a whopping 1 Billion Dollars worth of SHIB (at that time) to Indian charity as part of the India COVID Relief Fund, making it the world’s highest single crypto donation ever. The donation is currently managed by the founders of WazirX WRX Coin
Less than a week after making the donation Vitalik permanently burnt 410.24 trillion SHIBs which amounts to 6.6 Billion Dollars in value. It is reported that Vitalik is currently holding just 10% of his initial holding which he has reserved for donation to a worthy cause.
Shiba Inu Coin Mining:
Shiba Inu is an ERC20 token and unfortunately, it cannot be mined. Unlike Dogecoin, which follows a Proof of Work (POW) consensus mechanism like Bitcoin and Litecoin, Shiba does not fall into the category of mineable coins. On the other hand, we have Monero XMR a high value yet easy to mine cryptocurrency.
Moreover, Shiba doesn’t have its own blockchain which limits the opportunity of Shiba becoming a mineable coin. On the bright side, you may earn more SHIBs by BURYING (staking) your SHIBs on SushiSwap which is about to be launched anytime in 2021.
DogeCoin vs Shiba Inu Coin:
Let’s settle this for real by pitting them against each other –
| Comparison Type | Dogecoin | Shiba Inu Coin |
|---|---|---|
| Blockchain | Own network | Ethereum |
| Primary Use Case | Digital Currency | Decentralized Exchange |
| Total Supply | Unlimited | 1 Quadrillion |
| Future Projects | None | ShibaSwap |
| Mining | Possible (POW) | Not Possible |
| Project Tokens | None | LEASH, BONE |
Shiba Inu Coin Price:
Check the latest Shiba Inu Coin Price –
Shiba Inu Price Prediction:
Shiba Inu was launched as a meme coin with no real-world use case and whitepaper. Somehow, it was able to garner a lot of attention in the crypto community after Vitalik donation of SHIBs to India. Moreover, Shiba Inu is backed by strong support from its community members which are actively marketing the coin on every known social platform like Reddit and Twitter.
Recently, it was listed on Coinbase which skyrocketed the price for a brief moment. Shiba may have reached a dead-end by now if it lived to be just a fun coin. However, Ryoshi’s whitepaper on ShibaSwap and the creation of a vibrant ecosystem with the launch of two new ERC20 tokens has again sparked the interest of investors.
On the other hand, the first audit exposed the potential risk of staking your coins of ShibaSwap DEX and found it a centralized ecosystem with a risk of swiping the ERC20 bone tokens to any arbitrary address.
Shiba has claimed to have fixed this bug but it is yet to be evaluated. Having said that, even if ShibaSwap is to succeed, it will likely, never make it to one dollar because of very high supply and limited use case.
Unless we see an expansion in the SHIB use case, it’s difficult to say it will ever hit a big number or even 1 cent per token.
VeChain VET crypto can be an alternative investment option
How to buy Shiba Inu Coin?
SHIB is available on all the leading exchanges including Binance (Binance coin BNB native token), Coinbase and Crypto.com (CRO coin native token). Just like Bitcoin, you can easily buy, sell or hold SHIB on the respective wallet or on the exchange.
Indian users can use WazirX Exchange to trade SHIB or any other digital currency within India under government jurisdiction.
Is Shiba Inu Coin worth investing in?
Launched as a meme coin to overtake Dogecoin, Shiba Inu has come a long way from just being a fun token. The announcement of ShibaSwap has given a direction to the project which may lead to a brighter outcome.
Powered by a strong community that’s working towards making Shiba’s vibrant ecosystem a success, it is clear that the coin is here to stay, at least for now. Speaking from an investment point of view, SHIB doesn’t have anything that makes it a good value proposition. Having said that, I am neutral to negative on the Shiba Inu coin until the success of ShibaSwap DEX changes my mind for good.
Also, check the Pugglit Inu crypto project that aims to transform crypto trading
This completes my review and analysis of Shiba Inu Coin with possible price prediction. Remember to check my next post on Internet Computer ICP coin and Avalanche crypto AVAX coin. Please do share the post on your social media handles to educate your circle by spreading the right knowledge.
DISCLAIMER:
Cryptocurrency is a highly volatile market. All the information shared in the post is for knowledge purpose only. By no means, it’s financial or investment advice. Readers are responsible for their own investment decisions and should only invest in cryptocurrency after proper research.
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Paras is a blockchain writer & video creator at Katoch Tubes. In his free time, he loves watching space exploration documentaries & Hollywood movies.