Shiba Coin: A Beginner's Guide To Investing

Shiba Inu is a decentralised, community-led cryptocurrency that has exploded in popularity since its inception in 2020. It is a meme coin launched as a rival to Dogecoin, and it has already taken over some Dogecoin markets. It is now accepted as a form of payment at hundreds of locations worldwide.

Shiba Inu is a highly speculative asset. Its value has fluctuated wildly, and it is susceptible to social media sentiment and celebrity endorsement. Its price history has been a rollercoaster, and it is difficult to predict how it will perform in the future.

If you are considering investing in Shiba Inu, it is important to remember that it is a risky and volatile asset. You should only invest what you are willing to lose.

Where to buy Shiba Inu coins

Shiba Inu (SHIB) is a cryptocurrency that can be purchased on several different exchanges. Here are some of the most popular options:

Coinbase

Coinbase is a centralized exchange where you can buy, sell, and manage SHIB. It is available in the United States and is known for being a trusted and quick way to buy cryptocurrencies. To buy SHIB on Coinbase, you will need to create an account, add a payment method, and verify your ID. Once you have done that, you can select SHIB from the list of assets and enter the amount you want to buy. Finally, you will need to finalize your purchase.

Binance

Binance is another centralized exchange that offers a variety of cryptocurrencies, including SHIB. To buy SHIB on Binance, you will need to create an account and verify your identification. You can then choose your preferred payment method and place your order. Binance offers several payment options, including debit/credit cards, Google Pay, and Apple Pay.

Kraken

Kraken is a well-established cryptocurrency exchange that offers a simple and secure way to buy SHIB. To purchase SHIB on Kraken, you will need to create an account, connect a payment method, and place your order. Kraken offers both desktop and mobile solutions for buying SHIB, making it convenient for users.

Other Options

In addition to the above exchanges, other popular options for buying SHIB include eToro, bitcoin.com.au, and Independent Reserve. These platforms offer user-friendly interfaces and a range of payment options, making them suitable for beginners and experienced investors.

How Shiba Inu works

Shiba Inu is a decentralised, community-building cryptocurrency that was launched in August 2020 by an anonymous person named Ryoshi. It is built on the Ethereum blockchain network, like many other coins. It is a meme coin launched as a rival to Dogecoin, or a "Doge-Killer".

Shiba Inu is divided into multiple tokens that help the entire cryptocurrency ecosystem function:

• SHIB: The foundational Shiba Inu currency that can be traded and used as a medium of exchange.
• LEASH: This token is limited to 107,646 units, making it the most limited of the Shiba Inu-related coins. It provides staking rewards for those validating transactions in the cryptocurrency.
• BONE: This token has 250 million units and is used to allow those using Shiba Inu to vote on various proposals.

The Shiba Inu ecosystem also includes ShibaSwap, its own decentralised platform for trading coins, and Shiboshis, a type of non-fungible token (NFT).

Shiba Inu is a fork of Dogecoin, which means it is a variation of Dogecoin that shares most of its code and features. However, there are some key differences between the two. For example, SHIB has a faster block time of just one minute, compared to Dogecoin's block time of ten minutes.

Shiba Inu is secured through the process of staking SHIB and is based on the Ethereum network, which employs a Proof-of-Work (PoW) consensus mechanism. The network also has a very active and engaged community that quickly responds to any potential threats. Additionally, it has several built-in mechanisms that make it difficult to mount a successful attack.

Shiba Inu can be traded on a decentralised cryptocurrency exchange, which does not rely on a central authority and is often more resilient to hacks and scams.

Shiba Inu's tokenomics are designed to maximise value for the SHIB community. The total supply is one quadrillion SHIB, and the circulating supply is one hundred quadrillion SHIB. There is a hard cap of one hundred quadrillion SHIB, and the burn rate is four percent per year.

Shiba Inu also has a decentralised platform for trading coins called ShibaSwap. Once Shiba Inu launches its DEX, ShibaSwap, users will be able to stake their coins for BONES. BONE is touted as another Dogecoin Killer and will take the power of DeFi to higher levels.

Shiba Inu also plans to launch an NFT project, releasing ShibaSwag and actualising real-world applications beyond the digital landscape.

Shiba Inu's price history

Shiba Inu Price History

Shiba Inu (SHIB) is a decentralised, community-led cryptocurrency that was created in August 2020 by an anonymous developer known as 'Ryoshi'. It is a 'meme coin' that was inspired by Dogecoin and is part of the dog-themed cryptocurrency family.

SHIB is a token that runs on the Ethereum blockchain and is compatible with Ethereum wallets. It is intentionally abundant, with a total supply of one quadrillion, and is accepted as a form of payment at numerous locations.

The price history of SHIB has been volatile. The token's popularity surged when Elon Musk endorsed it, driving its price up by 4000% in three months and reaching a peak of $0.000035. However, the high did not last long, and the coin soon plunged, wiping off 90% of its value.

SHIB saw another rally in 2021 when Musk announced that Tesla electric cars could be bought with Dogecoin, causing the price of SHIB to reach $0.000075, a 1200% increase. The Shiba Inu token price peaked in November 2021 at $0.00006916, with a market capitalisation of $37.97 billion.

However, the crypto winter of 2021-2022 saw a steep decline in the value of cryptocurrencies, and SHIB was no exception. By June 2023, the price of SHIB had reached a low of $0.000006773.

As of May 2024, the price of SHIB is $0.00002419, still down over 70% from its all-time high in 2021 but up almost 300% since the beginning of the year.

SHIB's price history has been heavily influenced by external factors, including social media sentiment and celebrity endorsements, which are important to consider when making future price predictions.

Shiba Inu's future

The future of Shiba Inu is uncertain, and its price predictions vary wildly. It is a highly speculative and volatile asset, and its performance is heavily influenced by external factors, including social media sentiment, celebrity endorsements, and the broader crypto market.

Shiba Inu (SHIB) is a cryptocurrency that was launched in August 2020 as a play on the Dogecoin (DOGE) meme. It gained popularity in 2021, with its price surging by 4,000% in three months due to endorsements from celebrities like Elon Musk. However, it has also experienced significant losses, wiping off 90% of its value multiple times.

As of May 2024, the price of a Shiba Inu is $0.00002419, which is still down over 70% from its all-time high in 2021. Its market cap is $811,187,176 USD as of August 2024.

Secondly, the broader crypto market conditions play a role. When the crypto market experienced a series of crashes in 2022, SHIB was affected, losing more than 75% of its value that year. On the other hand, the crypto market's recovery in 2023 has positively impacted SHIB.

Additionally, the introduction of the Shibarium layer 2 scaling solution, which takes Shiba Inu transactions off the Ethereum blockchain, could boost SHIB's price. The Shibarium project aims to transform Shiba Inu from a simple meme coin into a comprehensive ecosystem.

While some experts believe SHIB could reach a maximum price of $0.0000220 by the end of 2024, others predict a much lower price of $0.00000836. The huge differences in price predictions highlight the uncertainty surrounding SHIB's future.

In conclusion, Shiba Inu's future is challenging to predict due to its high volatility and sensitivity to external factors. Its performance will likely continue to be influenced by social media trends, celebrity endorsements, and the broader crypto market conditions. While it has the potential for significant gains, it also carries a high risk of losses, making it a speculative investment.

Is Shiba Inu a good investment?

Shiba Inu (SHIB) is a highly speculative and volatile asset, making it a risky investment. Its value has fluctuated wildly since its creation in 2020, rising and falling dramatically in response to social media buzz and endorsements from celebrities such as Elon Musk.

The Pros

Shiba Inu has experienced a surge in popularity and currently sits in the top 15 largest cryptocurrencies by market cap. It has a dedicated fanbase and has generated extraordinary wealth for some investors.

Its price has been on an upward trajectory since the start of 2024, and broader market factors, such as the approval of 11 spot Bitcoin exchange-traded funds (ETFs) in the US, have the potential to drive up the price of Shiba Inu and other cryptocurrencies.

The Cons

Shiba Inu is susceptible to high levels of volatility. Its value has fallen by more than 90% on several occasions, and it is closely correlated to Bitcoin and the broader crypto market, which are all susceptible to shifts in risk appetite.

It is also not widely accepted as a payment method, limiting its real-world utility.

The Bottom Line

Shiba Inu is a risky investment that is heavily influenced by external factors such as social media sentiment and celebrity endorsements. While it has the potential for significant gains, it also carries the risk of substantial losses. Therefore, it may be more suitable for investors with a high-risk tolerance and an appetite for the unpredictable nature of the memecoin market.

Frequently asked questions