Shiba Inu Coin started as an experiment in decentralized, community-driven meme tokens, drawing clear inspiration from the Shiba Inu dog breed from Japan.
The project went live in August 2020 after being launched by an anonymous person or group using the name “Ryoshi”.
It has since gone on to gain internet fame as a meme and become a symbol within crypto communities, in no small part thanks to its association with Dogecoin.
Now, Shiba Inu Token, commonly called SHIB, is the native digital currency within the broader Shiba Inu ecosystem.
It’s an ERC token, which means that the developers built the project on the Ethereum blockchain.
Some refer to it as the Dogecoin killer, and just like Dogecoin, it incorporates elements of humor and internet culture that resonate with the meme-loving crypto community.
Throughout 2021, Shiba Inu Coin experienced a surge in attention and popularity, with notable figures like Elon Musk talking about it on social media.
The coin’s community has rapidly expanded, gathering a significant following across various social media platforms.
It’s popularity can often be an intriguing aspect of the token…
So, why is Shiba Inu still popular?
One reason it’s so popular is because it effectively plugged into Meme Culture.
Shiba Inu Coin leveraged the widespread interest in meme-based cryptocurrencies, which have a strong online following.
Shiba Inu’s connection to this culture has helped it resonate with individuals who appreciate meme-based content’s humorous and lighthearted nature.
This connection to meme culture has been a key factor in driving the popularity and engagement surrounding Shiba Inu Coin.
Another reason is its great marketing efforts.
Shiba Inu Coin developers actually send half of all Shib tokens to Vitalik Buterin, the creator of Ethereum.
The developers knew Buterin’s wallet address and directly transferred a substantial amount of Shib tokens to him.
Some speculate that this was done for advertising, as having Buterin as a token holder could be seen as an endorsement.
Subsequently, Buterin sold some of the Shiba Inu tokens he received and donated the proceeds to charity.
But it doesn’t end there…
Some more reasons why Shibu Inu is still popular today...
Well, another reason for the ongoing popularity of Shiba Inu is its Staking and Rewards.
Basically, Shiba Inu implements staking mechanisms that allow token holders to lock their tokens in smart contracts for participating in activities or earning rewards.
These smart contracts ensure the integrity and equity of the staking process by adhering to predefined rules.
Furthermore, they can be programmed to grant the release of locked tokens upon the completion of staking periods.
Another important reason for Shiba Inu’s popularity is its association with Dogecoin.
To explain, Shiba Inu Coin has always positioned itself as a companion or potential rival to Dogecoin.
Dogecoin itself experienced a surge in popularity in 2021, partly due to endorsements from influential figures like Elon Musk.
Shiba Inu Coin took advantage of this association with Dogecoin to capture the attention and interest of the cryptocurrency community.
This move made Shiba Inu Coin generate significant buzz and attracted investors looking for alternative meme-based cryptocurrency investments.
In fact, speaking of Dogecoin…
How do Shibu Inu and Dogecoin compare?
Well first up, Dogecoin is a meme coin that developers launched to poke fun at Bitcoin and show that anyone could make a cryptocurrency without it having to be serious.
Technically speaking, Dogecoin uses a proof-of-work consensus mechanism.
Miners validate transactions and secure its network - a network of machines - by solving complex mathematical problems.
Despite its origins as a joke, Dogecoin quickly developed a loyal and active community that embraces its lighthearted and inclusive nature.
It continues to be a popular cryptocurrency thanks to its notable mainstream recognition.
Back to the main question though, a major difference between Dogecoin and Shibu Inu is how the two handle Smart Contracts.
As it turns out, since Dogecoin operates on its own blockchain and is similar to Bitcoin, it does not support smart contracts.
On the other hand, Shiba Inu, being an Ethereum-based project, utilizes smart contracts extensively - as I mentioned before.
These smart contracts introduce a wide range of functionalities beyond simple transactions.
For instance, they allow you to create new tokens, a capability unavailable on the Bitcoin or Dogecoin blockchains.
Additionally, smart contracts allow you to develop applications such as decentralized exchanges, facilitating token swaps and enhancing the overall functionality of the network.
Another big difference is the two projects’ origins and purposes.
In 2013, Billy Markus and Jackson Palmer developed Dogecoin as a cryptocurrency that embraced a fun and lighthearted approach.
Originally conceived as a joke or meme currency, it has evolved to attract a committed community and demonstrate practical value in real-world applications.
In contrast, Shiba Inu Coin aimed to establish a project rooted in community involvement, humor, and the culture of memes.
But they aren’t the only differences you’ll find…
What are the differences between Dogecoin and Shiba Inu?
Well, their Tokenomics and Supplies are really quite different.
Dogecoin has a limited supply of 130 billion coins, and its annual inflation rate is approximately 3.9%.
Conversely, there was a substantial total supply of 1 quadrillion coins when the Shiba Inu project launched.
However, the project has since introduced mechanisms to burn tokens, aiming to gradually decrease the overall supply as time progresses.
Another key difference is their underlying Technologies.
Dogecoin originated as a fork of Litecoin, utilizing the same script proof-of-work mining algorithm for its blockchain.
Its native cryptocurrency is DOGE, and an interesting feature of Dogecoin is its compatibility with merged mining.
Merged mining enables the simultaneous mining of Dogecoin and Litecoin using the same mining equipment without incurring additional costs.
The project introduced this innovation early on to ensure Dogecoin’s viability, as it initially lacked profitability as a standalone cryptocurrency.
The absence of merged mining could easily have led to the end of Dogecoin shortly after its launch.
In terms of transaction processing, Dogecoin can handle approximately 30 transactions per second.
The transaction fees are usually minimal, costing only a few cents, and transactions get typically confirmed within a few minutes.
On the other hand, since the Ethereum network supports the Shiba Inu ecosystem, Shiba Inu lacks a specialized blockchain of its own.
Currently, Ethereum can handle around 15 transactions per second thanks to the proof-of-work mining algorithm Ethash. Shiba Inu has no choice but to reflect that.
Shiba Inu transactions on the Ethereum network often have greater transaction costs than Dogecoin transactions, which isn’t great either.
When you make transactions, your transactions get confirmed within a few minutes.
Having said all that, there are still a few more layers to uncover between the two…
What differences are there between Shiba Inu and Dogecoin tokens?
It’s fair to say a key difference between the projects is the native Dogecoin and Shiba Inu Tokens themselves.
Dogecoin (DOGE) is the only coin the Dogecoin ecosystem uses and you can use DOGE for various purposes.
You can send and receive DOGE tokens as a form of digital payment, similar to other cryptocurrencies like Bitcoin.
Due to its low transaction fees and fast confirmation times, Dogecoin users often use it for microtransactions, too
Several people use it in various online communities to facilitate small-value transactions or as a means of expressing appreciation - much like giving a tip.
Conversely, there are several tokens available within the Shiba Inu ecosystem that serve specific purposes and provide utility within the project.
Shiba Inu Coin (SHIB) is the native cryptocurrency of the Shiba Inu ecosystem, and it can be used for staking, trading, and participating in the ShibaSwap decentralized exchange.
LEASH is another utility token within the Shiba Inu ecosystem. It is a limited supply token with a peg to the price of Ethereum.
LEASH holders can participate in exclusive events and benefits within the Shiba Inu community.
BONE, or Bone ShibaSwap, is a utility token that serves functions such as staking, earning rewards, and participating in governance within the ShibaSwap ecosystem.
So as you can see, there are a lot more tokens on Shiba Inu, with a lot more utility as a result.
Conclusion
To wrap things up, you've learned all about the unique journey of both Shiba Inu and Dogecoin, each starting as internet memes and humor, but both evolving into serious projects.
Dogecoin's charm lies in simplicity and a friendly community, proving that a 'joke' coin can find real footing in the crypto world.
Shiba Inu, on the other hand, takes full advantage of Ethereum's smart contract technology, giving you with a full ecosystem of multiple tokens, each with distinct roles.
Throughout this article, you've seen that these tokens are not just about memes; they've grown into projects that attract attention from both investors and crypto enthusiasts.
As you explore the ever-changing crypto landscape, the stories behind these meme coins show that the space is as diverse and exciting as internet culture itself!
Remember, in your journey through the world of cryptocurrency, it's essential to do your research, stay updated, and always invest responsibly.
That’s it for this article - I hope you enjoyed learning about Shiba Inu, and I’ll talk to you soon!
