Shiba Inu is a meme coin named after a relatively popular small Japanese dog. SHIB was launched in May 2021 as a competitor to Dogecoin, another meme coin that became popular among day traders and Elon Musk.
Shiba Inu has become one of the top-20 cryptocurrencies with a market capitalization of more than $20 billion. It is also owned by more than 1 million people from around the world. In this article, we will look at what Shiba Inu is and some of the options available if you want to buy and sell the coin.
What is Shiba Inu and how does it work?
Shiba Inu is a cryptocurrency built on Ethereum, the biggest smart contract platform in the world. The cryptocurrency was launched in May 2021 as an alternative to Dogecoin. At the time, Dogecoin had become a popular coin because of the substantial support it received from Elon Musk.
According to its website, Shiba Inu is one of the three cryptocurrencies in its ecosystem. SHIB is a currency that people can buy and hold trillions of. Leash is another similar currency but it has a supply limit of about 107k coins. Bone is also a similar currency but it has a supply limit of 250 million tokens.
Users can use Shiba Inu as a means of sending payments to one another. For example, if you have Shiba tokens, you can send some of them to a family member or friend. It can also be used for payments in retailers or e-commerce stores that accept it. Still, because of its volatility, very few mainstream shops accept it. In addition, you can use the coin to make donations.
Is Shiba Inu a Good Investment?
A common question is on whether Shiba Inu is a good investment. Like most cryptocurrencies, SHIB has done relatively well in the past few months. Between October and December 2021, the coin was up by more than 400%. This was a better performance than mainstream cryptocurrencies like Bitcoin and Ethereum. It was also better than traditional assets like gold and the S&P 500.
However, for long-term holders, Shiba Inu is a relatively risky investment. For one, this and other cryptocurrencies have performed well in a period of low-interest rates. Therefore, as rates start rising, there are concerns about whether they will continue doing well.
Still, Shiba Inu is a high-risk and high-reward asset. This means that while it could lead to substantial losses to investors, it can also lead to major profits. Therefore, if you are really interested in the coin, we recommend a situation where you are cautious. Only invest a small portion of your cash in the currency.
The alternative situation is where you decide to trade the currency. Trading is a situation where you buy and sell Shiba Inu within short periods. You buy it if you believe that the price will rise and short when you expect it to fall.
There are several options that can help you buy Shiba Inu within a few minutes. First, you can decide to use a decentralized exchange (DEX). A DEX is a platform that allows people to buy and swap tokens easily.
They differ from centralized exchanges in that all decisions are made by community members. Also, you don’t need to create an account, meaning that you can buy without any geographical information. All you need is a cryptocurrency wallet like metamask.
Some of the top DEXes where you can buy and swap Shiba Inu are Uniswap, PancakeSwap, QuickSwap, and SushiSwap.
The team behind Shiba Inu has also built a DEX known as ShibaSwap, where you can buy the cryptocurrency.
Second, you can buy SHIB from a centralized exchange. Centralized exchanges like Coinbase and Binance are those that are owned and managed by a team. This team sets all policies, including pricing.
Some of the top centralized exchanges that offer Shiba Inu are OkEx, Binance, Poloniex, and Huobi, among others. If you already have an account with an exchange, I recommend that you check out whether it offers Shiba Inu before you open a separate account.
Third, you can buy and sell SHIB from companies that offer forex and contracts for difference (CFD). A CFD is a product that tracks the price of a real asset. It does not give you any access to the coin. This means that you cannot send these coins to another person.
In this article, we have looked at how to buy SHIB and some of the top options that are available. When choosing the option, consider the reasons why you are buying the coin and the amount you want to spend in costs.
Also, consider the amount of money that you are risking. We have also looked at how SHIB works and some of the precautions to have when investing in it.