This meme coin quickly gained speed and value as a community of investors was drawn in by the cute charm of the coin paired with headlines and tweets from personalities like Elon Musk and Vitalik Buterin. While the SHIB cryptocurrency has one of the fastest-growing communities, with hundreds of thousands of people throughout their different social media channels, there are a few things to keep in mind when looking into the project. This was made possible thanks to a flock of retail investors, a bunch of Reddit groups, and, of course, Elon Musk—one of Dogecoin’s most avid commentators.
First and foremost, it is a decentralized exchange that allows whats a crypto exchange a simplified guide for the swapping of ERC20 tokens, in most cases paired in liquidity pools with SHIB. It also allows for staking (BURYing), providing liquidity (DIGging), interacting with Shiba-hosted NFTs, and voting on governance proposals. Shiba Inu is a dog-themed memecoin cryptocurrency hosted on the Ethereum blockchain.
The wide range of wallets available makes non-custodial hot wallets a good choice for storing SHIB. At the time of writing, ShibaSwap has a total value locked (TVL) of $73.19M on the platform. This is not a huge figure (by comparison, Curve has a TVL of nearly $19b), but it does suggest a growing level of interest within the crypto community towards Shiba Inu’s ecosystem. The same is true of those who stake LEASH (who receive xLEASH) and BONE (who receive tBONE). Holders of these staked tokens can collect rewards from the protocol in various ways, including from swap fees.
What Is Shiba Inu (SHIB) in Cryptocurrency, and How Does It Work?
Shiba Inu’s rise to prominence over the past couple of years has made it fairly easy to invest in. The coin can be purchased on a wide number of platforms, although it is not as widespread as the likes of Bitcoin, Ethereum or even Dogecoin. However potential investors shouldn’t have any issues finding a suitable place to purchase SHIB.
- So far, no other token has managed to compete with Dogecoin in terms of popularity and market cap the way SHIB has.
- As written in the project’s white paper, which the shib community calls the woofpaper, the goal was to transfer ownership of 500 trillion SHIB to Buterin with the hope he would lock them away forever.
- This was made possible thanks to a flock of retail investors, a bunch of Reddit groups, and, of course, Elon Musk—one of Dogecoin’s most avid commentators.
- The SHIB cryptocurrency was named after the Shiba Inu dog breed which hales from Japan, and its icon is that of the breed.
- LEASH tokens have since been “unleashed,” and now serve mainly as a store of value for investors.
- He started Hedge With Crypto to publish informative guides about Bitcoin and share his experiences with using a variety of crypto exchanges around the world.
Shiba Inu community
Aside from earning and voting protocols, the key purpose of ShibaSwap is as a decentralized exchange. The platform supports swapping between coins, including ETH, AAVE, SHIB, SUSHI, SNX and a number of stablecoins. In a blog post, the developers wrote the focus will be on the Metaverse, gaming and NFTs as well as be used as a cheap settlement for decentralized applications (dapps) built on Shibarium. Every transaction will burn SHIB tokens, but the details are still to be determined. While looking to expand the utility of SHIB, the development team introduced a metaverse — a virtual reality project powered by non-fungible tokens (NFTs).
How is the SHIB token used?
You should not invest more than you can afford to lose and you should ensure that you fully understand the risks involved. Before trading, please take into consideration your level of experience, investment objectives, and seek independent financial advice if necessary. It is your responsibility to ascertain whether you are permitted to use the services of Binance based on the legal requirements in your country of residence. Neither the firm nor investments in cryptoassets are regulated by the Financial Conduct Authority, nor covered by the Financial Ombudsman Service or subject to protection under the Financial Services Compensation Scheme. Investing in cryptocurrencies is risky enough because of their massive volatility and lack of regulation.
Shiboshis & The NFT Marketplace
However, this also propelled many clone coins, most of which are heavily inspired by DOGE. Perhaps it is safe to say that Dogecoin took center stage in the cryptocurrency markets since the beginning of 2021. Stay up to date with our latest exchange reviews, promotions, how-to guides and educational best forex liquidity provider fx broker solutions articles on Bitcoin, cryptocurrency & more.
In addition to SHI, a financial ecosystem is planned, and SHI would be added as a weighted pool pair on Curve. In that case, Ryoshi expects forks of the major DeFi protocols to appear in the Shiba Inu ecosystem, which would require an immutable bridge to function. Ryoshi’s intention for Shiba Inu has been to see if a perpetual decentralized organization could work with no central leadership. In mid-2021, Ryoshi kept to his promise and stepped away, leaving the token entirely in the community’s hands. Shiba Inu has a large following, but it is difficult to say whether the coin has the potential to continue developing and attracting users. What is more, Binance Futures and FTX opened leveraged contracts, and traders are now able to use them, though this carries a tremendous risk of capital loss.
Regular burns from high-profile investors are also completed to prevent the token from devaluing too much. Shiba Inu was initially released without any use cases, but the community quickly rallied around the token and built multiple blockchain-powered applications around it. From decentralized finance (DeFi) to NFTs to layer 2 protocols, developers of Shiba Inu’s ecosystem have aimed to bring a broad utility to the memecoin. LEASH launched as a rebase or elastic token, with it’s supply adjusted to track the price of DOGE at a rate of 1/1,000. Apart from that, the team is attempting to create an ecosystem consisting of a few tokens, a decentralized exchange called ShibbaSwap, and a fully-fledged community. Becoming arguably the most discussed and popular cryptocurrency for the time being, Dogecoin inspired many how to buy tron on crypto com to create tokens bearing similar characteristics.
