Cryptocurrency

Understanding the Basics of SHIB and its Potential as Dogecoin Killer

Understanding the Basics of SHIB and its Potential as Dogecoin Killer
Understanding the Basics of SHIB and its Potential as Dogecoin Killer

Introduction

Shiba Inu is a reasonably new cryptocurrency that has shot to fame recently. Compared to other cryptocurrencies in the market, the value of SHIB is very low, but its projections for the future are really high. Therefore, it is now the favorite coin of many investors – both retail and institutional. Initially, SHIB was launched as a Dogecoin killer, but over a very short time, it has created a powerful image for itself in the crypto world.

The dog-based meme was launched in August 2020 by a pseudonymous developer known as Ryoshi. Keeping in line with crypto trends, the developer kept his identity hidden, just like the famed Satoshi Nakamoto – the creator of Bitcoin.

Shiba Inu Components

Shiba Inu’s ecosystem has three main components – SHIB, BONE, and LEASH. 

  • SHIB is the primary token of the overall ecosystem
  • BONE is the governance token
  • LEASH is used for providing incentives to the holders of coins

The popular meme coin features its very own exchange that goes by the name of ShibaSwap. The exchange is a P2P platform (peer-to-peer platform) that allows investors to trade without any need for the involvement of a centralized party. Using the Shiba Inu exchange, an investor can ‘bury’, ‘fetch’, ‘swap’, and most importantly, ‘dig’ the tokens.

History and Relation with Bitcoin and Dogecoin

For the uninitiated, Bitcoin is the primary cryptocurrency in the market. It makes up almost 50% of the entire crypto market cap. If you don’t know, the crypto market cap is the total value of a specific cryptocurrency. Such is the dominance of Bitcoin that every other coin (apart from Bitcoin) in the market is called an Altcoin.

Dogecoin was released as an alternate to Bitcoin, and later, we saw SHIB come into existence, an alternate version of Dogecoin. We can say that Shiba Inu is the third generation of cryptocurrency – starting from Bitcoin, moving onto Dogecoin, and then finally Shiba Inu.

The name Shiba Inu name comes from a dog breed in Japan. With the cuteness of the dog on the logo, combined with the memes and buzz, SHIB has become the favorite currency of crypto investors all around the globe.

Exciting Facts About the Meme Coin

The meme crypto was launched while keeping the interests of the SHIB community in mind. Just like other cryptos, it is a decentralized cryptocurrency. Some of its essential characteristics are:

  • It is devised on Ethereum Blockchain Network
  • It was promoted as a DOGE killer because of its similarity to the famous crypto. Just like DOGE, SHIB’s mascot is also a dog.
  • It is rising in popularity and taking over Dogecoin markets

What is the Difference Between Dogecoin and Shiba Inu Coin?

Key differences between DOGE and SHIB are:

  • Shiba Inu is constructed on the Ethereum network, whereas Dogecoin is powered by Bitcoin technology. It is worth noting that both the Ethereum network and Bitcoin employ the tried-and-tested Proof of Work (PoW) consensus mechanism.
  • Shiba Inu is a deflationary cryptocurrency as its tokens are burnt after some time to raise their price. In contrast, Dogecoin is inflationary in nature, which means new tokens are added to the existing pool.
  •  Dogecoin was launched in December 2013, while Shiba Inu came into existence in August 2020. Due to its long history and reputation, DOGE has many use cases and is even accepted as a currency in online payments. On the other hand, SHIB has only recently started developing business use cases. SHIB: The Metaverse is already very popular among the Shiba faithful. Many believe that SHIB is all style, not substance. However, this thought process is changing fast, with SHIB developers like Shytoshi Kusama focusing on stronger fundamentals.
  • Nearly one quadrillion Shiba Inu were launched. However, more than 40 percent have been burned up till now. On the contrary, initially, 100 billion dogecoins were released. Now their number has grown to 132.7 billion.
  • At the time of writing, the value of SHIB is $0.00001108. In contrast, DOGE is valued higher at 0.083USD. 

What Makes Shiba Crypto so Famous Around the World?

In general, meme currencies require strong community support to flourish. And the communities are inspired to invest when popular individuals and companies start to get behind the meme currencies. When we look at DOGE, it has Elon Musk backing it from the get-go. Shiba Inu does not have any such support. However, it does use its position as an ‘underdog’ in the battle for dog-based currencies. 

Although this latest meme currency doesn’t have a popular supporter like Elon Musk (for DOGE), it benefitted from Musk’s hype when he said that he wanted to own a Shiba pup. Moreover, this crypto is quite popular in the Indian subcontinent due to its association with India’s Covid Relief Fund. Do you know that Ethereum founder Vitalik Buterin gave away 50 trillion coins to the Covid Relief Fund as a donation? As a result, the meme currency generated a lot of goodwill in the Indian subcontinent and even in other parts of the world.

Where to Buy Shiba Inu Coins Apart from ShibaSwap?

The coins of this dog meme currency can be bought on popular exchanges such as Crypto.com, Binance, KuCoin, and Atomic Wallet. If you want to exchange ETH (Ethereum) for SHIB, the Uniswap platform is a decent option.

Should you Buy Shiba Inu?

Shiba Inu is a wildcard among cryptocurrencies. But over the years, it has generated goodwill and popularity. The story of this new meme coin, in a very short time, has inspired people from across the globe. For people who like dark horses, SHIB is an excellent choice. Currently, the value of this popular meme is on a downward spiral due to a downturn in the crypto industry as a whole. However, SHIB developers are focusing on creating stronger fundamentals to complement its natural popularity. If and when SHIB: The Metaverse becomes popular, we are likely to see a rise in its popularity and price.

Summary

Since rising as a meme currency, a Dogecoin killer, Shiba Inu has mysteriously risen in rank and has reached a prestigious position in the cryptocurrency world. With the impending launch of SHIB: The Metaverse, the prospects of the meme currency look good. However, at the time of writing, the cryptocurrency market is experiencing a slump, so the price of this meme currency is very low. Given the existing situation and the fact that its founder Ryoshi has walked out of the project, SHIB has become a high-risk and high-reward proposition.

FAQs

Is Shiba Inu mineable?

No, Shiba Inu cannot be mined in the traditional way like Bitcoin and other PoW currencies. However, it is possible to use ‘unMineable’. If you don’t know, unMineable is where one can mine cryptocurrencies that cannot be mined normally.

What was the All-Time High (ATH) price for Shiba Inu?

The AllTime High for SHIB coin was $0.000086158837. SHIB reached the price on October 28, 2021. However, at the time of writing, its price is a shadow of itself and stands at just $ 0.000011.

What is the Rank of this Meme Coin among Cryptocurrencies?

Shiba Inu has a rank of number 16 in the crypto world. Not so long ago, it was ranked number 15, but there has been some decline in the recent past.

What is the price of 1 million Shiba Inu Today?

At the time of writing, the price of 1 million Shiba Inu is 0.00001108.

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