Shiba Inu Crypto: Worth Investing Or Just A Meme?

Shiba Inu (SHIB) is a cryptocurrency that has gained popularity in the crypto world. It is a dog-themed meme coin, similar to Dogecoin, that has given investors impressive returns. SHIB is an ERC-20 token, which means it runs on the Ethereum blockchain. It is also structured to run smart contracts.

SHIB's trading price is very cost-effective, making it an attractive investment option for crypto investors. Experts believe that investors could see a 100% profit from SHIB in the future. Additionally, SHIB's passionate community has been pressuring the popular trading app Robinhood to list the crypto, which could further increase its popularity and price.

However, investing in cryptocurrencies like SHIB comes with risks. SHIB has no real-world utility, and it is not accepted as a payment method by most vendors. It is also extremely volatile, and its price could crash as quickly as it has risen.

Before investing in SHIB or any other cryptocurrency, it is essential to carefully consider the risks and rewards and only invest what you can afford to lose.

Pros of investing in Shiba Inu

Shiba Inu (SHIB) is a unique investment opportunity with the potential for huge returns. Here are some pros of investing in SHIB:

Good Diversification of Investments

SHIB is a good option for diversifying your investment portfolio. As a cryptocurrency, it provides exposure to the digital asset class, which can help spread risk across different asset classes.

Low Cost for Small Investment Options

SHIB is one of the most affordable cryptocurrencies, with a low entry price. This makes it a good option for investors who want to get started with small investments.

Potential for Significant Financial Growth

SHIB has shown impressive performance in the past, with a year-over-year increase of over 120% as of July 12, 2024. While there are no guarantees, the potential for significant financial growth exists, especially if the wider crypto market pushes Shiba Inu higher.

Big Roles of the Whales

In July 2022, Shiba Inu was the second-largest holding among Ethereum whales, indicating confidence among experienced investors. The presence of whales can be a positive sign for predicting bullish price momentum.

Potential to be the Top Meme Coin

SHIB has emerged as a major competitor to Dogecoin and has the potential to become the top meme coin in the crypto market. This competition can impact its growth potential and attract more investments.

Element of Founder Anonymity

The anonymous nature of SHIB's founder(s) can be appealing to investors, similar to how Bitcoin's anonymous founder(s) helped dissociate the crypto from any individual. This anonymity may continue to drive interest and investment in SHIB moving forward.

Cons of investing in Shiba Inu

Investing in Shiba Inu (SHIB) carries a lot of risk. Here are some of the cons of investing in this cryptocurrency:

No Guarantees of Long-Term Growth

Shiba Inu's value has historically experienced extreme volatility, with its price soaring and plummeting in a short time. There are no guarantees that it will grow in the long term, and its value has fallen by more than 90% on several occasions.

Limited Real-World Use Case

Shiba Inu has a very limited real-world use case. Only about 40,000 merchants worldwide accept SHIB as a form of payment, and most of these are crypto exchanges or services. This lack of widespread adoption makes it a risky investment.

Extreme Volatility and High Risk

SHIB is characterised by high volatility and is influenced by various external factors, such as social media sentiment and celebrity endorsements. Its value can fluctuate significantly due to market conditions and the evolving nature of the memecoin space, making it a risky investment.

Competition from Newer Coins

The meme coin market is constantly evolving, with new coins being created almost daily. This competition from newcomers could potentially dilute Shiba Inu's market share and push it into the shadows.

Unpredictable Nature of Cryptocurrency

Cryptocurrency, in general, is a high-risk and unpredictable investment. No one knows for sure if it will still be around in a decade, and it's tough to predict which cryptocurrencies will be the most successful. With new cryptocurrencies being developed daily, there are no guarantees that Shiba Inu will remain competitive in the future.

How does Shiba Inu work?

Shiba Inu is a cryptocurrency that was created in August 2020 by an anonymous individual or group called Ryoshi. It is an Ethereum-based altcoin, which means it was built on top of the Ethereum network. This makes it compatible with most exchanges and other decentralised applications (dApps), and allows it to run smart contracts.

Shiba Inu is a meme coin, which is a type of cryptocurrency associated with a theme, launched as a parody or inside joke. In this case, Shiba Inu is based on the Doge meme, featuring a Shiba Inu dog. It is considered an alternative to Dogecoin, and its supporters have called it the "Dogecoin killer".

Shiba Inu has its own decentralised exchange, ShibaSwap, which allows users to swap one cryptocurrency for another directly from their blockchain wallets without registering for an account or providing personal information. It also has its own tokens, Bone and Leash, which are used for crypto staking and as a store of value, respectively.

Shiba Inu also has a large and passionate fan base, known as the "ShibArmy", which is in charge of the cryptocurrency and its development. This community aspect is a key part of Shiba Inu's appeal and functionality.

Where to buy Shiba Inu?

If you are a US-based investor, you can buy Shiba Inu from crypto exchanges such as Coinbase, Kraken, Robinhood, Binance, and eToro. There are over 20 sites offering Shiba Inu, including crypto brokers or crypto apps.

Buying Shiba Inu from Kraken

• Create a free Kraken account by providing your email address, country of residence, and securing your account with a strong password.
• Connect your funding method by linking your card or bank account after Kraken verifies your account.
• Check the price of Shiba Inu and use the SHIB to USD Converter to see how much you can buy with your USD.
• Buy Shiba Inu from the Kraken app or website.

Buying Shiba Inu from Binance

• Create a free account on the Binance website or app.
• Verify your identification.
• Choose how you want to buy the Shiba Inu asset.
• Click on the "Buy Crypto" link on the Binance website to know about the available options to buy Shiba Inu in your country.
• For better coin compatibility, consider buying a stablecoin first, and then use it to buy Shiba Inu.
• Navigate to the "Buy Shiba Inu with USD" page on Binance.
• Select Shiba Inu and USD from the dropdown menu.
• Choose your payment method and click "Confirm".
• Verify the details and confirm the order within the time limit.
• Follow your bank's instructions to verify the payment.
• The coin will appear in your Spot Wallet once verified.

How to store Shiba Inu safely?

Shiba Inu (SHIB) is a decentralised cryptocurrency that can be stored using any Ethereum-compatible wallet. Here are some tips on how to store your Shiba Inu safely:

Use a Dedicated Wallet

While you can store your coins on exchanges after purchase, it is recommended to use a dedicated wallet for better security and long-term storage.

Choose Between Hardware and Software Wallets

Hardware wallets are considered the most secure option for storing cryptocurrencies, especially if you are planning to hold large amounts or for the long term. Ledger and Trezor are two popular hardware wallets that support Shiba Inu and are widely regarded as the most secure options for protecting your crypto assets offline while allowing easy access when needed.

On the other hand, software wallets provide you with access to the platform where you can easily make trades. ZenGo is a good example of a software wallet that offers exceptional safety features to protect your cryptocurrency against hackers, while also providing easy access to your funds.

Additional Security Measures

When using a mobile Shiba Inu wallet, look for security features such as multi-signature confirmation for each transaction, daily/weekly limits to minimise the risk of theft, two-factor authentication, pin-code and fingerprint support, and cold storage options.

Do Your Research

Before deciding on a wallet, be sure to research the company, read reviews, and compare the security features offered. It is also important to remember that no one can protect your crypto assets except for you, so always stay informed and be cautious of projects that seem too good to be true.

Frequently asked questions