Comparison with Dogecoin and other questions answered

Shiba Inu is a meme token that has been gaining popularity since early 2021. The token was created as a meme and an experiment. But in the past year its popularity has soared. And now has a huge community that has invested in it. So we will examine and explain the origin of Shiba Inu, how it got so popular and a comparison with Dogecoin.

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Shiba Inu. to explain

Shiba Inu is an Ethereum-based token. It is not a coin but a token on the Ethereum blockchain. It is named after a Japanese breed of dog called Shiba Inu. It was created in August 2020 by an anonymous person named Ryoshi who was of Indian descent. Another anonymous investor donated 10 Ethereum to jump-start the project. It was created as an Ethereum-based alternative to Dogecoin, which is already an alternative to Bitcoin.

It has seen its value steadily increase. Many popular crypto exchanges such as Coinbase, Binance and Coin DCX have also started it due to the high demand from the community. It currently has a market cap of over $16 billion and a supply of 1 quadrillion tokens.

Shiba Inu uses Ethereums smart contracts to create its ecosystem. They have launched their crypto exchange called ShibaSwap. And there are other growing projects like more tokens along with Leash and Bone and NFT projects based on Shiba Inu.

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How did it gain popularity?

In March 2021, Tesla and Space X founder Elon Musk tweeted that he wanted to adopt a Shiba Inu dog. This was taken as a hint that he might be interested in Shiba Inu. That tweet led to a 300% increase in the value of the token. This made headlines around the world.

The founders of Shiba Inu have also transferred half of all tokens to Ethereum founder Vitalik Buterin’s crypto wallet. This may have been done to show that he is also invested in the token. Vitalik has donated 50 trillion Shiba tokens to the India Covid Crypto Relief Fund. This helped to get a lot of attention for Shiba Inu. Vitalik later burned the rest of his tokens in a wallet that no one has access to.

Will Shiba Inu reach a dollar?

As discussed earlier, Shiba has a huge supply of 1 quadrillion tokens. This makes it difficult for Shiba Inu to ever reach a dollar. Currently, the cost of one token is less than a fraction of 1 rupee or a cent.

It is hard for the price to reach 1 rupee. Because, if the price reaches 1 rupee, the total market cap of Shiba Inu will be more than all the money in each cryptocurrency. If it reaches one dollar, its market cap would be 400 trillion dollars. This is why it is very unlikely to reach a dollar.

What is digging and burial?

Digging is the reward you earn when you provide various tokens to the ShibaSwap exchange platform. This is done so that there is always liquidity or people can trade and exchange their coins in ShibaSwap. As proof and reward that you have provided your tokens in the liquidity pool, you will be rewarded with ShibaSwap Liquidity Protocol (SSLP) tokens.

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