Shiba Inu (SHIB): Main Idea and Future of the Token
Shiba Inu is a decentralized ecosystem that includes asset exchange, working with NFT tokens, passive income tools. The token was first released in August 2020 on the Ethereum blockchain. The token standard is ERC20. The basic idea is to give the community 100% control over the protocol.
On the project’s website, the token itself is called the “Dogecoin killer”. According to the developers, its main task is to surpass the total capitalization of Elon Musk’s favorite coin. The price point was capped at $ 0.01. Shib’s content strategy, which the authors jokingly call “woofpaper,” says Shiba Inu (SHIB), is an experiment in creating a decentralized community.
Main Idea of Shiba Inu (SHIB)
Shiba Inu (SHIB) aims to create the best Decentralized Ecosystem (DECO) on the planet. The first step towards this will be the creation of the Shiba Swap decentralized exchange. The exchange will engage in profitable agriculture and liquidity mining using the coins of the Shiba Inu Ecosystem (SHIB). In addition, as part of the ecosystem development, the Shib team will release their NFT tokens and the new Bone coin. The ecosystem already has a second Leash coin. Its total emission is only 100 thousand coins, and the cost is 1.8 thousand dollars, according to CoinMarketCap.
The Shiba Inu (SHIB) developers say they were the first to abandon the practice of owning tokens by the founders and co-founders of the project. To this end, 50% of Shiba Inu (SHIB) was sent to the Uniswap exchange and blocked. The remaining 50% was sent to the wallet of Ethereum developer Vitalik Buterin. This move made Buterin the largest cryptocurrency holder. The creator of Shiba Inu (SHIB) stressed that “until Vitalik betrays the project, he will live and develop.”
Buterin, in turn, did not justify the trust of the creators of Shiba. He burned 410 trillion SHIB tokens worth $ 6.5 billion. Burning tokens is the deliberate destruction of cryptocurrency units to reduce the mass of emissions. As a result of burning, the price of the asset rises. Against the background of Shiba Inu burn, the cost of tokens on the Binance crypto exchange has grown by almost 40%.
Buterin explained that he did not plan to keep Shiba Inu (SHIB) in his wallet for security reasons. To avoid speculation in further transactions, he decided to get rid of the coins.
Also, the co-founder of Ethereum asked cryptocurrency developers to stop sending tokens to his wallet, explaining that he did not want to have this kind of power. It is better to donate the coins to charitable foundations, having previously warned them about this.
Reason for Choosing Ethereum to Build the Shiba Inu Ecosystem (SHIB)
There are several popular blockchains today, including those suitable for building decentralized applications. Many are leaving Ethereum for fear of high fees. But the developers still chose this network. The reasons are the following factors:
- time-tested reliability;
- maximum opportunities for decentralization.
The top priority was that the project could change and develop freely regardless of external rules, and Ethereum is suitable for this purpose. On its basis, a decentralized exchange ShibaSwap is created, where you can buy, sell, exchange assets and make a profit. With each passing day approaching the launch of Ethereum 2.0, ShibaSwap aims to become the fastest and cheapest high-volume exchange.
Economic Device ShibaSwap
The Shiba Inu project has already gone beyond a simple experiment and intends to become a full-fledged decentralized ecosystem. Accordingly, the SHIB token will also gain value. According to the developers, this will allow it to overtake Dogecoin and other competitive coins.
Three types of tokens used in the system:
- Shiba Inu: SHIB.
- Leash Dogecoin Killer: LEASH.
- Bone: BONE.
On ShibaSwap, using SHIB, you can earn (“dig”) BONE tokens, “bury” your tokens (that is, supply liquidity), and exchange one token for another. Returns tokens are generated every time the SHIB participates in a “dig”, “burial”, or exchange. They are distributed in reward pools for users and then distributed in proportion to the number of assets held by the owners of the mentioned tokens. Some pools give the right to double or even triple returns.
Prospects for the Shiba Inu (SHIB) Project
The developers of Shiba Inu keep the future development plans of the project secret. In a highly competitive cryptocurrency market, this is a significant disadvantage. Users tend to trust what they are sure of. However, the key points are known:
- standardization of products and their introduction to the world market;
- launch of an “incubator” for digital artists (more than 75 applications from potential participants have already been submitted);
- opening of the NFT marketplace.
At the moment, efforts are focused on the ShibaSwap decentralized exchange. In any case, a team of volunteers has done a lot of work to create and promote their brainchild to realize their vision of the widespread adoption of cryptocurrencies and DeFi.
The price of SHIBA INU (SHIB) on October 28 was $ 0.00006534, increasing by 13.7% per day. Trading volume in 24 hours – $ 39.93 billion. The digital asset is available for traders to trade on Binance, Mandala Exchange, OKEx, FTX and Coinbase, and others. In addition, the token can be included in the Robinhood app after the corresponding petition has received 250 thousand signatures. Previously, SHIB came out on top in terms of daily sales on the Coinbase cryptocurrency exchange.
Elon Musk also attracted the attention of cryptocurrency users to digital assets. He has tweeted several times in support of virtual currency. Elon Musk wrote that he had a Shiba puppy. After that, the exchange rate rose by 70%.
SHIB has been experiencing a real boom in the digital money market lately. The burning effect reduced Shiba Inu (SHIB) supply by 40%. The demand for cryptocurrency will contribute to the growth of the rate. On the other hand, after Buterin revealed Shiba Inu burn, the cost fell by 37%. This is because many have started dumping their assets. The fall lasted for several days, after which the Shiba Inu token began to rise again.
The increase in prices co-occurred with the rise in the value of Dogecoin. The dominant meme coins have, over time, become a permanent feature of the digital money market. Meme coins are gradually becoming popular, but investing in them is still risky. Prices can soar very high, followed by a market correction.
What’s Next for Shiba Inu in 2022?
Shiba Inu is a speculative asset created as an alternative to another token. There are no famous people behind this cryptocurrency. Shiba Inu (SHIB) investors want to try their luck.
The Shiba Inu token is growing in the wake of its progenitor Ethereum and opens up new prospects for investment. Therefore, it is possible to buy Ethereum and Shiba Inu. Experts from the Market Realist portal speak of an undoubted increase in price.
Nevertheless, many experts predict that by the end of 2021, the token will maintain its level and constantly grow. Qualitative changes in the market affect it positively and lead to growth, so the future belongs to cryptocurrency. It remains only to choose the right one. Over time, Shiba Inu will be able to reach its full potential.