The crypto space has several thousands of cryptocurrencies in the market, but only a few can match up to Bitcoin’s repute. Surprisingly, one digital currency outperformed Bitcoin in 2021 by garnering more than 43 million views than Bitcoin. And the cryptocurrency that outperformed Bitcoin in terms of views is none other than Dogecoin’s competitor, Shiba Inu. This meme coin was launched to compete with Dogecoin, and it seems people have already started liking this cryptocurrency.
Though the present value of 1 is way higher than Shiba Inu, one can expect tables to change quite rapidly in the crypto space. For those who don’t know, Shiba Inu is a meme coin built on the Ethereum blockchain and features Shiba Inu, a Japanese dog breed, as its mascot. 2021 was the best year of Shiba Inu as it rose to fame reasonably fast, and its price soared more than tenfold around October 2021.
Owing to the cryptocurrency’s growing popularity, many started to accept it as a supported cryptocurrency on major trading platforms. While Shiba Inu was a no-brainer investment option for many in 2021, will it remain the same this calendar year? To help investors make wise investment decisions, we have curated some crucial information essential for investors to make an investment decision.
Is Shiba Inu the Dogecoin Killer?
Since its official launch in the crypto space, the has been nipping at the heels of all its competitors, especially Dogecoin. While Shiba Inu is not the only Dogecoin competitor, it is the only one out of Doge Dash, Dogelon Mars, Floki Inu, and others to openly challenge Dogecoin. Shiba Inu’s official website even lists Shiba Inu’s native currency SHIB as a DOGE killer. Although Dogecoin is pretty similar to Bitcoin, it lacks on-chain features like smart contracts. On the other hand, Shiba Inu is a blockchain-based cryptocurrency built on Ethereum with advanced smart contract capabilities. The ability to execute smart contracts puts Shiba Inu at an advantage over Dogecoin.
Supported by Elon Musk
It’s no surprise how a cryptocurrency can skyrocket in valuation if it receives positive press, community support, and words of favor from top celebrities. In the past, Elon Musk’s series of tweets were responsible for the sudden growth of Dogecoin, and the same pattern can be repeated in the case of Shiba Inu. Although Elon Musk doesn’t tweet about all cryptocurrencies, the ones he does talk about end up gaining traction in the crypto space. Over the past year, Elon Musk has tweeted about buying Shiba Inu for himself, and this single tweet made Shiba Inu rise by over 300% in value. Top exchanges even listed it on their exchanges, allowing for easy exchange of this meme coin.
Shiba Inu is a Token, Not a Digital Coin
While many are interested in the cryptocurrency space, very few understand the difference between a token and a coin. Many use the two terms freely or interchangeably without understanding their difference. A token is created on top of an existing blockchain, while coins have their own blockchains. Shiba Inu is a token built on top of the Ethereum blockchain. Cryptocurrencies like Dogecoin, Bitcoin, and others are crypto coins as they have their own blockchain networks. Besides tokens following the lines of Shiba Inu are Binance USD, Tether, and more.
Shiba Inu has an Anonymous Founder
The token Shiba Inu has launched anonymously under the pseudonym Ryoshi. It means no one really knows who created Shiba Inu. But this anonymity doesn’t really affect the token regarding its value and demand. Bitcoin, too, was launched anonymously by someone called Satoshi Nakamoto, someone the world is yet to see. But despite launching Bitcoin as an anonymous creator, the cryptocurrency took off the ground in no time. The same can be expected of Shiba Inu, especially after seeing the present hype and popularity.
Supporting a Utility-Driven Ecosystem
Most people have the notion that meme coins survive barely on the hype and sentiments of people. The value of such coins can increase or decrease within a split second depending mostly on people. But it is not always true. Shiba Inu or SHIB is a meme coin that supports various useful utilities, like Defi platforms, NFTs, and more. The cryptocurrency is currently working on its Layer-2 protocol to add other utilities while keeping the transaction fees relatively lower. Shiba Inu’s mission is to offer a secure, reliable, and affordable environment for cryptocurrency trading while maintaining the essence of decentralization.
Is Investing in Shiba Inu Worth It?
Investing in cryptocurrencies has always been risky owing to the highly speculative and volatile nature of the market. The lack of regulation adds more to the troubles associated with crypto trading. When it comes to fun or meme coins like Shiba Inu, creators have to bear the brunt a little extra because exchanges list meme coins with a message of caution. So despite offering real-life utility or solid use cases, Shiba Inu remains a speculative asset. If you want to really invest in Shiba Inu, you will have to take full responsibility for doing your own research before taking any final call. The more research you do, the better.