Shiba Inu (SHIB): What It Is, What It’s Worth and Should You Be Investing?

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As the saying goes, every dog ​​has its day. This is especially true of shiba inu, a cryptocurrency named after and based on the Japanese dog breed. Since its introduction to the crypto world, the coin has grown at an astonishing pace and has captured the attention of investors and enthusiasts alike.

At the end of October 2021, the price of shiba inu crypto rose by more than 173% in just a week, and it plummeted almost as fast† While steep price growth makes it easy to go with the moment, it is important to know that cryptocurrency, especially meme coins, are a very volatile investment.

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Learn about shiba inu volatility, its future potential and everything you need to know about its current price.

What is Shiba Inu?

Shiba inu is an altcoin created in August 2020 by a pseudonymous entity called Ryoshi. Like many other cryptocurrencies, the name of shiba inu is inspired by a breed of dog.

According to his white paper, known in the shib community as the “impact paper”, the founder launched shiba inu on Ethereum because the blockchain is well established and secure.

The founder of Shiba inu claims that half of the coin’s supply on Uniswap has been locked in a liquidity pool, while the rest has been sent to Vitalik Buterin, the co-founder of Ethereum. The tokens were sent in the hope that Buterin would keep them.

But he burned most of them and removed them from circulation. He donated a significant number of tokens to many charities, including the India COVID-19 Relief Fund.

How much is Shiba Inu Coin worth?

According to Coin Market Cap, shiba inu crypto is worth it $0.00002498That represents a drop of nearly 70% from the high of 0.00008 on October 26. Over the next three months, the coin spiraled — or perhaps corrected — to $0.00002051 before recovering slightly in February. Since then, the price has been fairly stable.

Currently, the coin has a market capitalization of $13,705,357,883 and is ranked by 15th place in CoinMarketCap’s list of the best cryptocurrencies.

Is it safe?

The security of any cryptocurrency depends on its structure and usefulness. Since shib is an altcoin, it is community based. That means that the success of the coin largely depends on the growth of the community. The utility company plays a less important role in this.

Shib’s white paper calls it an “experiment” for decentralized community building.

Even under the best conditions, you should only invest in crypto what you can afford to lose as all cryptocurrencies are risky investments. However, altcoins are particularly risky because they have structural, usage and delivery differences to bitcoin, and their investment potential. is more speculative.

When bitcoin was launched, the aim was to offer a peer-to-peer decentralized financial system. The founder has carefully crafted the blockchain keeping in mind the utility and structure of the ecosystem. In addition, there is a limited supply of bitcoin. Thus, the cryptocurrency has a built-in scarcity. Because of these features, bitcoin has the potential to become a widely accepted digital currency in the future.

But the same cannot be said for shiba inu cryptocurrency. So it is not exactly a safe investment.

Where can I buy Shib?

You can buy shiba inu on ShibaSwap, the project’s native exchange, and on Binance.USCoinbase, KuCoin and many other exchanges. Here are some ways to buy shib through Binance.US:

Transfer: Transfer money from your bank account and buy stablecoins on Binance.US. Then you can use these stablecoins to buy shiba inu.
Trade: You can also trade your existing cryptocurrencies for shib on Binance.US.
credit card: With Binance.US, you can buy shib with your debit or credit card, such as Mastercard or Visa.

If you live in a state with unfriendly cryptocurrency laws, you can buy shib on a marketplace like KuCoin as part of a trading pair. In an example KuCoin provides on its website, you can buy shib through the shib/USDT trading pair and then exchange your USDT for shib.

You can also use the Atomic Wallet app to buy shib. First, buy ethereum with Coinbase. Then transfer your coins to Atomic Wallet and trade them for shib.

Is it a good investment?

Most of the popularity of shiba inu is based on hype. According to Nasdaq, the fear of missing out is emotionally taxing for investors. If you see others making money, you may be tempted to invest in them too.

Recent heads with shiba inu could give the currency a boost, if only temporarily. And whether it is right or not. For example, an article in Benzinga raised a rumor — and it’s strictly rumored — that Elon Musk might have had a hand in Shib’s development.

What’s not rumored is that a Baltimore dealership has begun accepting shib, among other cryptocurrencies, as payment for its cars. However, a 2022 Cayenne SUV would set you back about 3.8 billion shib, which equates to about 7% of all shib coins currently in circulation.

More likely to have a real effect on Shib’s value is its new listing on Robinhood, giving it greater exposure to investors. In addition, the shiba inu metaverse project is nearing completion and will offer a public land sale after a 10-day bid-and-holder event, U.Today reported.

That being saidFor most investors, the risk-reward profile of Ethereum, Bitcoin and larger altcoins, such as Cardano, was more viable than Shiba Inu. If you want to buy a few coins for fun, go ahead. But you should not invest heavily in shib as it may be worth little or nothing in the future.

Rdo you remember how important The price of shiba inu dropped last fall. While regular market volatility played a role in this drop, the fall is attributed to a mysterious billionaire.

Potential crashes

An anonymous person bought 70 trillion shib coins for $8,000 last August† When the currency peaked, the coins were worth $6 billion. However, this person started moving more than 40 trillion of his assets to four crypto addresses.

Thus, it is speculated that trillions of shiba inu could come back to the market, causing a significant price crash. But this is not the only concern that experts have about shib. Fearing that the anonymous billionaire could soon sell their assets, other traders could sell their coins even if the said billionaire does nothing. In either case, there will be a huge influx of shib into the market.

It is also important to note that shiba inu has no intrinsic value. It may seem valuable given its market cap, but its value is based on entertainment only. With this in mind, it would not be wise to invest too much of your money in shib. The shiba inu crypto can help you make money quickly, but it is not a reliable long-term investment.

Good to know

The fear of missing out on the shib’s price rise, or FOMO, makes investing tempting. While shiba inu has made some people quite wealthy, it can also lead to significant losses, based on the trajectory the community and market sentiment will take in the future. Invest wisely and choose coins that have intrinsic value and usefulness.

Daria Uhlig contributed to the reporting for this article.

This article has been updated to include additional reporting since its original publication. The information is correct as of April 25, 2022.

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About the author

Scott Jeffries is a seasoned technology professional based in Florida. He writes on the topics of business, technology, digital marketing and personal finance.

After receiving his bachelor’s degree in Management Information Systems with a minor in Business, Scott spent 15 years in technology. He has helped Fortune 100 startups bring software products to life. When he’s not writing or building software, Scott can be found reading or spending time outside with his kids.

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