Shiba Inu: A Beginner’s Guide to the Cryptocurrency’s Ecosystem

Shiba Inu has evolved far beyond the SHIB token and now boasts a metaverse, DeFi capabilities, NFT collections, and a synergised token network.

Key Takeaways:

• The Shiba Inu cryptocurrency (SHIB) began as a meme coin but quickly grew due to its strong community, the ShibArmy.
  
• Beyond the original SHIB token, the Shiba Inu ecosystem now includes LEASH and BONE tokens, the ShibaSwap decentralised exchange, NFT collections, a metaverse, the Shibarium Layer-2, and Shiba Inu games.
  
• ShibaSwap offers features like liquidity pools, staking, yield farming, and an NFT marketplace.
  
• The ShibArmy has significantly influenced the ecosystem through charitable donations, partnerships, and educational initiatives.

Introduction

The ever-evolving Shiba Inu cryptocurrency ecosystem has garnered significant attention due to its unique origins and rapid growth. Initially conceived as a first-wave meme coin in 2020 and inspired by the popular Dogecoin, Shiba Inu (SHIB) has expanded into a multifaceted ecosystem with various tokens, decentralised applications (dapps), and a vibrant community. 

This article delves into the intricacies of the Shiba Inu cryptocurrency ecosystem, exploring its origins, key components, and future prospects.

The Origins of Shiba Inu

The Shiba Inu cryptocurrency was created in August 2020 by the anonymous individual or group known as Ryoshi. Inspired by Dogecoin, which itself was launched as a joke, Shiba Inu was dubbed the ‘Dogecoin Killer’. Unlike Bitcoin or Ethereum, Shiba Inu started without a grand vision of decentralised finance (DeFi) or smart contracts, but quickly gained a following due to its meme potential and viral marketing.

Ryoshi’s vision was to create something entirely decentralised and community-driven. The project’s development and direction are heavily influenced by its community, often referred to as the ‘ShibArmy’. This grassroots approach has been pivotal in its growth, attracting millions of followers and investors.

The Original SHIB Token

The SHIB token is the cornerstone of the Shiba Inu ecosystem; it was initially launched with a total supply of one quadrillion tokens. A unique aspect of the SHIB launch was the decision to send 50% of the total supply to Ethereum co-founder Vitalik Buterin’s wallet. On 17 May 2021, Buterin chose to burn 90% of his SHIB holdings and donated the remaining 10% to the Indian CryptoRelief Fund.

Key Features of SHIB

• Decentralisation: SHIB is designed to be fully decentralised, with no single entity having control over the ecosystem.

• Accessibility: SHIB is accessible on numerous exchanges, making it easy for anyone to buy and trade.

• Community-Driven: The ShibArmy plays a crucial role in the development and promotion of the ecosystem.

Key Components of the Shiba Inu Ecosystem

The SHIB, BONE, and LEASH Tokens

After SHIB’s initial success, the token was joined by the LEASH and BONE partner tokens, Shiba NFT collections, a DeFi space, a metaverse, the Shibarium Layer-2, and a Shiba game — comprising a full Shiba-centric ecosystem. Below is a breakdown of the individual components:

Doge Killer (LEASH)

Doge Killer (LEASH), another token within the Shiba Inu ecosystem, was originally intended to be a rebase token pegged to the price of Dogecoin. However, the rebase mechanism was later removed, making LEASH a scarce asset with a total supply of only 107,646 tokens. This scarcity has made LEASH highly sought after by traders looking for exclusivity within the ecosystem.

Bone ShibaSwap (BONE)

Bone ShibaSwap (BONE) serves as the governance token for Shiba Inu’s decentralised exchange (DEX), ShibaSwap. With a total supply of 250 million tokens, BONE allows holders to participate in the decision-making process regarding the future development of the Shiba Inu ecosystem. This governance model empowers the community to have a direct say in proposals and changes.

ShibaSwap Exchange

ShibaSwap is the decentralised exchange and liquidity pool platform that facilitates the trading of SHIB, LEASH, and BONE tokens. Launched in July 2021, ShibaSwap aims to provide a safe and user-friendly platform for token swaps, staking, and earning rewards.

Key Features of ShibaSwap

• Liquidity Pools: Users can provide liquidity to various pools and earn returns in the form of BONE tokens.

• Staking: SHIB, LEASH, and BONE holders can stake their tokens to earn rewards.

• Yield Farming: Users can participate in yield farming to earn additional BONE tokens.

• NFT Marketplace: ShibaSwap also features an NFT marketplace, integrating the growing trend of non-fungible tokens (NFTs) into the ecosystem.

Shiba Inu NFTs

SHIBOSHIS

The SHIBOSHIS is an exclusive collection of 10,000 NFTs released on 14 October 2021. Each SHIBOSHI represents a unique, randomly generated pixel art Shiba avatar that exists eternally on the blockchain. These NFTs have been designed to offer passive benefits for life, providing multiple streams of rewards and utility to the holder.

SHIBOSHIS Utility

1. SHIBOSHI Social Club: Offers direct communication with the development and core team members of the Shiba Inu ecosystem, plus privileged information, a say in the development and design of SHIBOSHIS, and additional benefits within roadmap activations and timelines.

2. Naming and Renaming: SHIBOSHIS can be named and renamed, and each name change costs US$100 worth of SHIB, 100% of which is burnt.

3. Restricted Plots of Land: 2,000 restricted plots of land in ‘SHIB: The Metaverse’ are available to whitelisted SHIBOSHI holders.

4. SHIBOSHI Locker: Allows SHIBOSHI holders to lock their SHIBOSHIS to access all phases of the Lands sale event. The locking periods vary based on the number of SHIBOSHIS held.

5. Playable Heroes in the Game: SHIBOSHIS will be playable heroes in a blockchain game, each demonstrating its own unique power through the combination of its traits.

SHEboshis

SHEboshis, released in early 2024, is an NFT collection from the Shiba Inu ecosystem designed to celebrate women in crypto, with the mint phase already sold out.

Shibarium Layer-2

Shibarium, a Layer-2 scaling solution designed to offer faster transaction speeds and lower costs, officially went live on 16 August 2023. It aims to transform and improve the user experience in the Shiba ecosystem. Transactions on Shibarium are verified and validated through Proof of Participation, where validators are selected and receive rewards in proportion to their holdings of the associated cryptocurrency.

Shibarium allows transactions to occur off-chain, minimising costs and processing time for end users. It features a SHIB burning mechanism and acts as a bridge for other blockchains, aiming to provide the building blocks for the whole Shiba Inu ecosystem.

The chain utilises five tokens: SHIB, BONE, LEASH (all discussed above), TREAT, and SHI, each offering different utilities. TREAT token provides liquidity to the SHI stablecoin. Only buy these tokens from verified sources like the official ShibaSwap.

Shiba Inu Games

Shiba Inu games are spearheading the development of an immersive gaming ecosystem within the Shiba Inu ecosystem, leveraging the Shibarium Layer-2 scaling solution to introduce innovative and engaging games.

Below is an overview of existing Shiba Inu games:

Shiba Eternity

Shiba Eternity is an acclaimed collectible card game (CCG) that has garnered attention within the Shiba Inu ecosystem. It is built on the Shibarium Layer-2 scaling solution and designed to offer players true ownership of in-game assets, a player-driven economy, and community-based governance.

Shiba Eternity is set to introduce tradeable cards and more in the early part of Q3 2024, highlighting the continuous development and expansion of the game.

SHIB: The Metaverse

SHIB: The Metaverse is another project within the Shiba Inu gaming ecosystem, offering a virtual world experience where players can engage with the SHIB token, customise land plots using SHIB, and transact in ETH while locking up their LEASH tokens or SHIBOSHIS.

This game introduces utility to the SHIB token, creating a unique and interactive experience for participants within the metaverse.

The Shiba Inu Community

The success of the Shiba Inu ecosystem is largely attributed to its vibrant and passionate community, known as the ShibArmy. This community is active on various social media platforms, including X, Reddit, and Telegram, where members share news, promote the ecosystem, and organise events.

Community Initiatives

• Charitable Donations: The ShibArmy has been involved in numerous charitable initiatives, leveraging the attention and funds from the ecosystem to support various causes.

• Collaborations and Partnerships: The community actively seeks out collaborations and partnerships to expand the ecosystem’s reach and utility.

• Education and Awareness: The ShibArmy dedicates considerable effort to educating the public about cryptocurrency, blockchain technology, and the Shiba Inu ecosystem.

How to Buy SHIB, LEASH, and BONE Tokens

Shiba Inu (SHIB), Doge Killer (LEASH), and Bone ShibaSwap (BONE) are all listed in the Crypto.com App — together with a growing list of 250-plus supported cryptocurrencies and stablecoins, including Bitcoin (BTC), Ethereum (ETH), Polkadot (DOT), USD Coin (USDC), and Cronos (CRO). 

Crypto.com App users can buy SHIB, LEASH, and BONE with USD, EUR, GBP, and 20-plus other fiat currencies and spend them at over 150 merchants globally using the Crypto.com Visa Card.

Alternatively, users can also buy Shiba Inu and its affiliated tokens on the Crypto.com Exchange. To start buying SHIB today, download the Crypto.com App.

Challenges and Criticisms

Despite its rapid growth and passionate following, the Shiba Inu ecosystem, like most, has not been without challenges and criticisms.

Volatility

Like many cryptocurrencies, SHIB and other tokens within the ecosystem are highly volatile. This volatility can lead to significant gains but also substantial losses for traders.

Perception as a Meme Coin

The origins of Shiba Inu as a meme coin have led some to dismiss it as a legitimate asset. Critics argue that its value is driven more by hype than by any intrinsic utility or technological innovation.

Regulatory Scrutiny

As with many aspects of the cryptocurrency industry, Shiba Inu faces potential regulatory scrutiny. Governments and regulatory bodies are increasingly looking at how to regulate cryptocurrencies, which could impact the ecosystem.

Conclusion

The Shiba Inu cryptocurrency ecosystem is a fascinating example of how a project that started as a meme coin can evolve into a complex and multifaceted ecosystem. With its community-driven approach, diverse token offerings, and ambitious future plans, Shiba Inu has carved out a unique niche in the cryptocurrency world.

Though it faces challenges and criticisms, the ecosystem has the potential to continue growing and evolving with the passion and dedication of the ShibArmy. As with any investment, potential traders should conduct thorough research and consider the risks involved. However, the Shiba Inu ecosystem stands as a testament to the power of community and innovation in the digital age.

Due Diligence and Do Your Own Research

All examples listed in this article are for informational purposes only. You should not construe any such information or other material as legal, tax, investment, financial, cybersecurity, or other advice. Nothing contained herein shall constitute a solicitation, recommendation, endorsement, or offer by Crypto.com to invest, buy, or sell any coins, tokens, or other crypto assets. Returns on the buying and selling of crypto assets may be subject to tax, including capital gains tax, in your jurisdiction. Any descriptions of Crypto.com products or features are merely for illustrative purposes and do not constitute an endorsement, invitation, or solicitation.

Although the term ‘stablecoin’ is commonly used, there is no guarantee that the asset will maintain a stable value in relation to the value of the reference asset when traded on secondary markets or that the reserve of assets, if there is one, will be adequate to satisfy all redemptions.

Past performance is not a guarantee or predictor of future performance. The value of crypto assets can increase or decrease, and you could lose all or a substantial amount of your purchase price. When assessing a crypto asset, it’s essential for you to do your research and due diligence to make the best possible judgement, as any purchases shall be your sole responsibility.