What is Shiba Inu (SHIB)?
Dogecoin (DOGE) can be considered the big brother of the coin meme school, but there is another meme coin that stands out as well.
In 2021, DOGE has been down sharply so far, having climbed from a price below $ 0.01 for most of January to an all-time high of $ 0.73 on May 8.
DOGE price table | Source: Coinecko
Also inspired by the Shiba Inu breed, the Shiba Inu (SHIB) is a new coin on the market and has exploded this year.
Shiba Inu is the name of a Japanese breed of dog, Inu (犬) means dog in Japanese.
What is SHIB?
Shiba Inu (SHIB) is an ERC20 token that runs on the Ethereum network and is quickly becoming an alternative investment to DOGE. You could call it a copy of a coin meme, especially since the “Doge” in Dogecoin is actually inspired by the Shiba breed. However, SHIB’s profits this year are by no means trivial.
According to CoinGecko, SHIB hit an all-time high (ATH) of $ 0.000037 on May 10th. The price is currently over 80% versus ATH and is trading at $ 0.000075. With a market capitalization of nearly $ 3.7 billion, SHIB is the 30th largest coin on the market today.
SHIB Price Chart | Source: Coinecko
SHIB has grown more than 2 million percent from its inception (July 31, 2020) to its decline in mid-May, which is more than the profits of BTC or ETH from their respective beginnings.
The numbers above sound fantastic for a coin that seems to have appeared out of nowhere, but it doesn’t stop there. While Shiba Inu is still well below DOGE’s current market cap of $ 28.5 billion (DOGE is currently the seventh largest coin), Shiba Inu has seen bigger gains in the short term. In fact, in the midst of a collapsing market, DOGE price has fallen nearly 37% in the last 30 days and 11% in 7 days. In contrast, SHIB held its profit, up 7% from the previous month.
Where can I buy SHIB?
Traders can buy SHIB through exchanges such as Binance, Huobi Global, and OKEx. However, this exchange is not for US citizens. In addition, the coin is also traded on decentralized exchanges (DEX) such as Uniswap, 1inch and 0x. There are no exchanges that accept the exchange between USD and SHIB, only other cryptocurrencies such as USDT, BUSD or WETH. As a result, buying a SHIB is more complicated than some others as you need to buy another coin or stablecoin before trading the SHIB.
The price of SHIB skyrocketed within a few days of being listed by Binance due to the great demand from users. Binance CEO Changpeng Zhao tweets May that the exchange “ran out of addresses to send ETH today due to SHIB” and that “that has never happened with other ERC20 coins”.
But while Binance can benefit from increasing trading volumes, even the exchange’s CEO is wary of the potential risk.
“Don’t support it. Super high risk. No financial advice, ”he tweeted.
What’s the story behind SHIB?
Aside from being an Ethereum based meme and a Dogecoin challenger, what exactly is Shiba Inu? After side network SHIB was officially created to “experiment with building a decentralized spontaneous community” and is the first of many explicitly planned coins with dog motifs. LEASH is another token that has been released, albeit in limited quantities, and has made massive profits. In the meantime, BONE is a “Dogecoin killer” that was started with the decentralized exchange ShibaSwap. There is even a “Woofpaper” detailing the team’s plans.
A total of 1 trillion SHIBs were minted and the anonymous developers at Shiba Inu sent more than half of the total offer, over 505 trillion SHIBs, to the wallet of Ethereum co-founder Vitalik Buterin. The developers treat the coins as “burned” or withdrawn from the market in order to increase the value of the remaining coins available for trading. However, it is worth noting that Buterin has access to its preserved holdings.
If you feel that the above sounds ridiculous or even meaningless, it is not surprising as many other people agree. But Dogecoin was considered a “joke” cryptocurrency for a long time before it broke through in 2021 and was hotly debated among fans like Mark Cuban and Elon Musk. Will Shiba Inu take the same path? Yes, it did, at least when it came to the incredible benefits.
But for anyone looking to make millions on SHIBs, the task becomes more difficult when prices escalate. SHIB’s current market cap is $ 3.7 billion, which means that a 10x gain on a purchase today would bring a market cap of up to $ 37 billion, displacing XRP and becoming the sixth most valuable cryptocurrency on the market would.