A new ERC-20 token called Shiba Inu was launched on the Ethereum blockchain in August 2020, using the same technology as Bitcoin. The creator of this token chose to remain anonymous, choosing the pseudonym Ryoshi. His main goal was to disrupt traditional perceptions and get away from strict government control. Ryoshi released an official 28-page description of the crypto coin called the ‘Woof paper’ (gav-list).

The developers of Shiba Inu positioned their project as a ‘Meme Coin’ (meme cryptocurrency), offering an alternative to the popular Dogecoin, which has already won the hearts of millions of users and has become the favourite cryptocurrency of Elon Musk. Taking the image of the Shiba Inu dog breed as a basis, the creators of Shiba Inu created their own version of the meme crypto. This is where the nickname of the token Shib – ‘Dogecoin Killer’ arose, implying the desire to overtake Dogecoin by market capitalisation.In this material we will consider what is Shiba Inu tokens, market capitalisation, history of creation, how to buy and whether there are prospects for the coin.

What are memecoins

Shiba Inu and Dogecoin are the brightest representatives of memecoins, that is, cryptocurrencies based on popular memes or cultural phenomena. The name Shiba Inu refers to the Japanese dog breed of the same name, which is native to the Chubu region. Interestingly, the same breed is represented on the Dogecoin symbol, which was originally a satirical project based on the Doge meme.

Memecoins often emerge as a parody or inside joke, rather than a serious digital product with practical utility. Their popularity is built on cultural context, virality, and community support. Such coins usually do not claim to solve global problems or technological breakthroughs, but they attract attention due to their strong image and charisma.

Despite their jokey origins, memecoins can have a significant impact on the cryptocurrency market. They attract public attention, generate discussions and even become the subject of large financial investments. A prime example is the sharp rise in Dogecoin’s value in 2021, caused by the support of famous personalities such as Elon Musk.

Thus, memecoins are not just fun cryptocurrencies, but an important phenomenon of today’s digital world that shows how internet culture can influence the economy and finance.

What is a Shiba Inu coin?

SHIB tokens is a cryptocurrency launched in August 2020 by an anonymous individual or group under the pseudonym Ryoshi. In his manifesto, called ‘Woof Paper’, Ryoshi describes SHIB as an experiment in creating a decentralised community that is completely participant-driven. The idea is that collective power can build something more meaningful than any centralised structure.

Shiba Inu Concept

Created Shiba Inu coin on the wave of popularity of memecoins. SHIB calls itself a ‘Dogecoin killer’, aiming to surpass it in terms of market capitalisation without reaching a price of $0.01. The developers were inspired by the example of the WallStreetBets community, which was able to boost GameStop and other companies’ stocks. SHIB’s own community, called Shib Army, has over 120,000 members.

Goals and ecosystem development

The authors of the project, who owns Shiba Inu coin, named the main mission – the creation of a leading decentralised ecosystem (DECO). The first step was the creation of a decentralised exchange Shiba Swap, where users will be able to engage in profitable farming and mining of liquidity using tokens of the ecosystem. Next came the emergence of NFT tokens and the new Bone coin. The first coin to appear was Leash, which has a limited issue of 100,000 pieces.

Philosophy and vulnerability

The creators of SHIB claim to have abandoned the traditional model of token ownership by the founders. Half of all SHIBs were sent to the Uniswap exchange and frozen, while the other half were transferred to Ethereum creator Vitalik Buterin. Ryoshi emphasised that ‘greatness is not possible without vulnerability’ and hoped that Buterin’s credibility would ensure the project’s sustainability.

Popularity and growth

The Shiba Inu coin quickly gained popularity, and its price increased manifold. In four days, the value of SHIB increased 25 times. After listing on OKEx and Huobi, SHIB’s trading volume reached $8 billion. However, when Buterin donated 50 trillion SHIB to charity, the coin’s price fell by more than 50 per cent.

At the time of publication of the material, the total capitalisation at the mark of $8.13 billion dollars. This makes it the 18th place among all cryptocurrencies in terms of capitalisation.

Economics of Shiba Inu

When did Shiba Inu launch the tokenomics and the project’s future development landscape were not yet fully formed. Over time, three SHIB-based cryptocurrencies have emerged.

There are three cryptocurrencies in the Shiba Inu ecosystem, represented by ERC-20 standard tokens on the Ethereum blockchain. What is Shiba Inu listed below.

Shiba Inu (SHIB) is the main token of the ecosystem. Its initial supply was 1 quadrillion, but after Vitalik Buterin’s burning of 410 trillion tokens, there are far fewer tokens left. SHIB holders can ‘stake’ or ‘bury’ their tokens to receive rewards in the form of BONE tokens. In addition, SHIB network members receive 0.1% of all ETH swap fees on the ShibaSwap platform.

Leash Dogecoin Killer (LEASH) is the second token of the ecosystem. It is characterised by a high dollar value due to its small supply of only 107,646 tokens. LEASH holders can place their tokens to provide liquidity to the LEASH-ETH pair, receiving BONE tokens in return.

Bone (BONE) is the third token with a fixed offering of 250 million units. BONE is designed to manage the network and give voice to ecosystem members through the Doggy DAO platform. BONE tokens are also used as a reward for staking and providing liquidity on ShibaSwap. Liquidity providers for the BONE-ETH pair receive 0.1% of all revenues from DAI and USDT swaps.

Can Shiba Inu be mined

Shiba Inu (SHIB) is an ERC-20 standard token that operates on the Ethereum blockchain. One of its distinguishing features is its colossal initial token supply – on the order of 1 quadrillion tokens. This makes SHIB one of the most affordable cryptocurrencies, which has attracted many investors interested in low-cost digital assets.

Despite its jokey origins, Bitcoin Shiba Inu has evolved into a full-fledged ecosystem in a short time, including additional LEASH and BONE tokens, the decentralised ShibaSwap exchange and the Shiba incubator for NFT art creation. These elements extend the functionality and value of the project, making it more than just a memecoin.

Why you can’t mine SHIB

What is Shiba Inu crypto explains why classic mining is not possible, available for standard cryptocurrencies. Here are the main reasons:

  • Lack of a proprietary blockchain. SHIB is an ERC-20 standard token that functions on the Ethereum blockchain. Unlike cryptocurrencies with their own blockchains, SHIB relies on the Ethereum infrastructure, which eliminates the need for traditional mining.
  • Token Creation Mechanism. SHIB creation and distribution is done through Ethereum smart contracts, rather than by solving complex mathematical problems as in classic mining.
  • Consensus Algorithm. Ethereum uses the Proof of Stake (PoS) algorithm, in which new blocks are added by validators that are chosen based on the number of coins they supply. Unlike the Proof of Work (PoW) algorithm applicable to Bitcoin, PoS does not involve mining.

Understanding what is Shiba Inu Ethereum is very important so that you don’t jump to fraudulent resources offering to make money from SHIB mining.

How to Earn SHIB

To understand how to make money from memecoin, you need to find the answer to the question, what is Shiba Inu holders. Owning a token is one way to make a profit if the rate will grow and have time to sell the coins. There are also alternative options for mining, which are not related to the traditional understanding of this process. Let’s consider the main ones.

Ethereum mining and exchange for SHIBs

The process involves two steps that need to be performed in a designated sequence.

The first step is Ethereum mining. Use Ethereum (ETH) mining equipment such as GPUs or ASIC miners.

The second step is exchanging ETH for SHIBs. The ETH you receive can be exchanged for SHIB on cryptocurrency exchanges such as Binance, Coinbase or decentralised platforms such as Uniswap.

Staking (liquidity mining)

Staking is the process of locking up cryptocurrency to keep the network running and earn rewards. To steak SHIB, follow the steps below:

  • Choose a platform. Use platforms that support SHIB staking, such as ShibaSwap, Binance, or other DeFi services.
  • Account creation. Register on the chosen platform and complete all the necessary checks (KYC, moderation, etc.).
  • SHIB Deposit. Transfer your SHIB tokens to the staking platform, following the deposit instructions.
  • Staking Process. Select the amount of SHIB to be locked and follow the instructions to set up the staking process. You can select a staking pool and confirm the terms and conditions.
  • Rewards Tracking. Check your account regularly to keep track of your accrued rewards.

This allows you to earn money for providing liquidity for decentralised applications.

SHIB cloud mining

Cloud mining is renting computing resources to mine cryptocurrencies such as Bitcoin or Ethereum. There is no direct cloud mining of SHIB as it is not mined using classical methods. Any platforms offering cloud mining of SHIB are most likely staking or intermediary services.

Some services allow you to mine Ethereum or Bitcoin and then exchange the funds received for SHIB. It is important to use only trusted and reliable platforms to avoid scams.

Now you know what is SHIB and how you can use the coin’s features to make money.

How to earn free Shiba Inu tokens (SHIB)

There are various ways to get free SHIB tokens. Here are a few of them:

  • Fausets (cranes). Websites called faucets give away small amounts of cryptocurrency for free. Several of these sites specialise in giving away SHIBs. Complete simple tasks such as solving captchas or watching adverts to earn small amounts of tokens.
  • Referral programmes. Many sites and apps offer rewards in SHIB for completing certain tasks, such as watching videos, participating in surveys, or playing games. You can also earn bonuses for referring new users through your link.
  • Airdrops and contests. Various projects and communities organise airdrops and contests where SHIB is given away as prizes. Keep an eye on social networks and specialised forums to make sure you don’t miss out on such events.

Although SHIB has become quite popular among investors and enthusiasts, it cannot be mined due to its nature as an ERC-20 token on the Ethereum blockchain. Nevertheless, it remains in demand and is actively used in various projects. Consider the methods listed above if you want to get SHIB without investing.

Where to buy and how to store SHIBA INU (SHIB)

Running on the Ethereum blockchain and compliant with the ERC-20 standard, the SHIB token can be stored in almost any cryptocurrency wallet. The following popular cryptocurrency exchanges are available for purchasing SHIB:

  • Binance – the largest platform in terms of SHIB trading turnover.
  • OKEx, Kucoin, Huobi, Coinbase, Probit Global, Crypto.com and others.

Buying is possible only for USDT and BUSD.

ShibaSwap Exchange

With the growing popularity of SHIB, the development team created ShibaSwap – a decentralised exchange (DEX) on the Ethereum blockchain. The platform offers a variety of financial instruments and transactions, including stacking, farming, liquid pools, and trading through an automated market maker (AMM).

The SHIB ecosystem includes three tokens of the ERC-20 standard:

  • Shib – the primary token for trading and storage.
  • Leash – secondary token for pools.
  • Bone – a management token that is credited for providing liquidity, farming and stacking. It also allows you to vote for the development of the project.

The ShibaSwap project is recognised among both regular users and large investors due to its high percentages of farming and liquidity delivery. Support from Vitalik Buterin and Elon Musk has also played its role. According to statistics, ShibaSwap has already entered the top 20 global DEX in terms of trading volume.

Shiboshis NFT tokens

SHIBA INU has released its own NFT tokens on the OpenSea platform. The Shiboshis collection are unique digital assets in the form of cartoon puppies with a variety of accessories. The prices of these NFTs range from 0.1 to 50 ETH. The rarest and most expensive pieces feature unique elements resembling images of superheroes such as Iron Man and Batman.

Pros and cons of the SHIB crypto coin

Advantages:

  • NFT support. SHIB actively integrates with the world of non-fungible tokens (NFTs), which broadens its application and appeal to users.
  • Security and Reliability. Based on the Ethereum blockchain, SHIB benefits from its time-tested infrastructure, providing a high level of security and stability.
  • Partnerships with major platforms. Co-operation with leading exchanges and projects strengthens SHIB’s position and increases its credibility.
  • Community management. The project is supported by an active and engaged community, which gives it additional stability and dynamism.
  • Professional team. The SHIB development team is focused on creating a leading decentralised ecosystem, which confirms the seriousness and ambition of the project.
  • Rapid capitalisation. The speed of SHIB market capitalisation growth demonstrates high investor interest and great potential for further development.

Disadvantages:

  • High commissions. Withdrawal of funds from some exchanges may be accompanied by significant commissions, which limits the flexibility of users.
  • Dependence on external factors. The price and popularity of SHIB are influenced by the opinions and actions of influential people in the crypto industry, which creates a certain instability.
  • Limited exchanges. The list of platforms where SHIB is traded is still limited, which narrows the range of available options for investors.
  • Unknown creator. Lack of reliable information about the creator of the project may cause doubts among some users.
  • Practical applicability. Despite its growing popularity, SHIB lacks real practical applications, which casts doubt on its long-term value.

Conclusion

We have told you what is SHIB holders and the history of the token’s creation. The Shiba Inu coin has captured the hearts of many crypto-enthusiasts due to its non-seriousness and dedicated fan base. Starting out as a pastime in the world of cryptocurrencies, the project has grown in value over time and built a large community.

Today, members can enjoy trading NFT with Shiba Inu images, explore the SHIB Meta Universe, participate in games and develop innovative solutions on the L2 blockchain. The ecosystem is expected to continue to evolve in 2025, making SHIB an attractive asset for traders and developers.

However, it is worth keeping in mind the inherent volatility of memecoins. Unpredictable fluctuations in SHIB prices can carry significant risks for those who choose to trade this asset. Regardless of the future of SHIB, many see this token as a symbol of the strength of cryptocommunities and the importance of shared goals. It clearly demonstrates the diversity and potential of the Web3 world.

Answers to Frequent Questions

What is Shiba Inu (SHIB)?

Shiba Inu (SHIB) is a decentralised cryptocurrency launched in August 2020 on the Ethereum blockchain. SHIB is positioning itself as a ‘Dogecoin killer’ and is categorised as a memecoin.

What makes Shiba Inu different from other cryptocurrencies?

Shiba Inu stands out for its community-based model and its ambition to become part of the DeFi (decentralised finance) ecosystem. Unlike Dogecoin, SHIB runs on the Ethereum platform, which opens up access to smart contracts and other DeFi features.

How can Shiba Inu be used?

SHIB can be used for payments, trading on cryptocurrency exchanges, participating in decentralised applications (dApps) and generating passive income through staking or participating in ShibaSwap ecosystem projects.

Which projects are part of the Shiba Inu ecosystem?

The Shiba Inu ecosystem includes projects such as ShibaSwap (decentralised exchange), LEASH (limited token for staking) and BONE (management token). These projects aim to empower and add value to SHIB.

How does Shiba Inu feel about regulation and future prospects?

Like many memecoins, Shiba Inu is subject to high volatility and speculation. Regulation remains an open question and its future depends on community activism, innovation and the overall cryptocurrency market.