Shiba Inu: All About Meme Cryptocurrency Competing With Dogecoin

In recent years, the cryptocurrency fever has become a trend again, generating a shortage of computer components again and causing many people to become interested in mining these virtual currencies, to such an extent that this new wave of interest has fact that some  countries prohibit their banks from using them  or that they come to adopt some cryptocurrency as the official currency of their country , as in the case of El Salvador.

Be that as it may, today we are not here to talk about mining or the shortage of graphics cards, but to deal with the case of other types of cryptocurrencies, better known as “Meme Coins” , and more specifically about Shiba Inu .

This cryptocurrency, like the others, is a currency created online, which means that it works and can be operated with it as with other virtual currencies, using an Exchange and saving it in our digital wallets or “Wallets” , and Like most cryptocurrencies, it is based and created on a blockchain system that ensures the integrity of its tokens. But these “Meme Coins” have a big difference , and that is their purpose, which makes them behave in a peculiar way in the market , different from other cryptocurrencies about which you can check the latest news here .

Shiba Inu: characteristics

As a currency, Shiba Inu does not respond to any need , it is not like Bitcoin that intended to revolutionize internet sales by introducing easy and anonymous payments and a currency to trade online. Nor is it like many other currencies that are linked to a company or project and are designed to work with a series of services or applications. Shiba Inu is simply a currency that was created to be created , it is true that it has an ecosystem behind it, but as we will see later, its value is clearly not influenced by it.

The cryptocurrency is also known as SHIB or Shiba Token, and it was created in August 2020 . Its creator or creators are anonymous, although they are known by the name of “Ryoshi” . Little else is known about the creator or background of the coin, although its official page (in English) mentions some transactions and details of its distribution when the coin was created, citing that it was born from the Ethereum network and that they had support. from the creator of this other coin. It is also mentioned that there are several direct sister coins of Shiba and belonging to the same ecosystem as Leash or Bone.

The popular meme that the cryptocurrency makes use of is that of Doge , who apart from Shiba Inu has his own cryptocurrency, Dogecoin . This meme is characterized by the use of dogs of the Shiba Inu breed , native to Japan and can appear in numerous formats and different editing styles. Its first appearance dates back to 2010, when a teacher published several photos of a Shiba Inu called Kabosu that she had just adopted, this photo would be the first record of the Doge meme, which would continue to grow with more photos and edited material of other dogs of the race.

The memes and Elon Musk, knowing the behavior of the coin

A meme, for those who do not know it, is like a joke or a joke on the internet , generally it appears in the form of a video or edited image that is intended to make fun of something by taking a situation and taking it out of context to adapt it to what we we want, many times entering the field of absurdity or nonsense . Like some kind of parody. Memes come in different categories and it is a very open concept, anyone can make one and they can be made of any type of thing adapting to the humor of each one.

Memes can be made by everyone and anything we can think of , and someone had the idea of  making a cryptocurrency with one , taking a dog that became popular in other memes at the time and creating a cryptocurrency with his face. Does this coin make any sense? Would it be different if instead of a dog it had been a parrot or some other thing or animal? Well no, because this coin is created to be funny , without any kind of sense other than to attract attention and without any kind of purpose behind it other than to create it for its own sake.

And that meme currency status that it has along with Dogecoin , is what has made it gradually gain popularity among people who invested in cryptocurrencies and those who were interested in the world of memes, including Elon Musk .

Anyone who uses Twitter from time to time will know the adventures of Elon Musk on the platform and the behavior he has on it, very different from that of any other billionaire or businessman, even going to court on occasion for the use of the network Social. Elon has used Twitter to share memes countless times before about these coins , and on the other hand he has also spoken in his account about cryptocurrencies, so that when the two topics were put together his account became the perfect promotional platform for the themselves.

The sensationalism of memecoins like Shiba Inu and their dangerous behavior

The main problem with the “Meme Coins” is that they have become a trend and that has made many people start investing without information or knowledge of the subject , which all these people and media that have promoted these currencies have taken advantage of, converting the phenomenon in  a kind of social game : people are presented with the currency as something revolutionary and without knowing about the subject, they invest, then they forget for a while when they see that it is not so magical and then a few months later they remember it and they invest again. This  causes large potholes in the price charts in an unpredictable way that makes   people with less knowledge the most affected.in these movements, and making the minority that take advantage of them earn large amounts of money.

These sudden and advertising-based changes can happen in all cryptocurrencies, but they are much more accentuated in these cases of Meme currencies, since in a normal cryptocurrency, as they usually have a purpose, people invest also thinking about that purpose, of So that when an external event occurs to alter its behavior, it does not have as much effect and once it is finished its value does not fall as quickly . But in these, movement is only reversed or generated when there is a big change in trend, or, that is, there is a trigger such as a tweet from Elon Musk That causes that change, and that added to a large number of uninformed people who do not usually invest constantly and suddenly get into the subject, causes the value to inflate temporarily and then fall after a while.

Investment and risk factor

Investing and trading with these currencies is easy and fast , although it has certain risks that it is a good idea to take into account before launching to buy. The process works in a similar way to normal currencies: you go to a place where they change the currency you have with which you want to get (known as “Exchanges” ) and there you do the operation. The only detail is that you will need to have a place to store the coins , just as you need a bank account or a wallet where you can put your real coins. To save these virtual currencies “Wallets” are used, which can come in different formats, such as physical in USB stick format or as virtual on some platform or on your own computer. In most cases, the Exchanges themselves will offer us a virtual “Wallet” to use.

Binance, one of the many “Exchanges” online

This is the most basic thing we will need to know in order to start buying virtual currencies like Shiba, but we will have to be careful when making transactions and operating because there are important details that can play a trick on us.

The first thing is to understand that, unlike a normal currency, cryptocurrencies do not have any official body behind them that is in charge of generating them, controlling them or most importantly, ensuring their value , anyone with the knowledge can put a currency into circulation and close it when you feel like it, losing its value overnight with no options to avoid it. Therefore we will have to be careful with the coins we buy, if they serve any purpose as an application it is rare that they suddenly disappear, but sensational coins of the Shiba type that fall entirely on speculation can disappear quickly , especially if they are not so famous.

Another point to consider and that is of vital importance is where and how to invest , on the internet there are countless “Exchanges”, so it is a good idea to investigate the platform a little to make sure that it is well established and that they will not disappear or scam us. Also, once we choose it, we must be clear that the transactions are not free , and we will be charged a small fee each time we put in or withdraw money, and each time we buy and sell a cryptocurrency, which vary depending on the site. You also have to look at the way of investing , most platforms offer the possibility of exchanging assets with others and that’s it, like the currency exchange of a lifetime, but alsoThere are other options to buy futures or similar with different conditions in which the rules of the game change, which can cause us to lose money or even get into debt .

Finally, before making the investment we have to be fully aware that “Meme Coins” such as Shiba or Doge, like most currencies, are incredibly volatile , being able to have drastic changes in their value at any time of the day and making us earn a lot. money just like losing it. For example, Dogecoin, Shiba’s sister currency when it officially came out on Binance, one of the largest cryptocurrency buying and selling platforms, launched with a value that days later would plummet, taking many less experienced investors completely by surprise.

Shiba Inu price chart in US dollars.

Shiba Inu: Pure and Hard Speculation

The coins like Shiba that have been created for doing the joke can be funny and seeing the whole panorama and the speculation that forms around them can be more or less fun, but in the end, investing is not child’s play , and Cryptocurrencies are not a source of free income, at least not without having taken trading courses or knowing how similar systems work, such as the stock market or the different stock markets.

So if we really want to invest, the best thing is to be informed correctly and to train , and if we only want to buy a little of these currencies no matter what happens in the future, let it always be with money that is left over and we do not miss it, because who You know, just as in a few years we can find that the currency has made us millionaires, we can also find that it has disappeared and with it the money that we had put in.

by Abdullah Sam
I’m a teacher, researcher and writer. I write about study subjects to improve the learning of college and university students. I write top Quality study notes Mostly, Tech, Games, Education, And Solutions/Tips and Tricks. I am a person who helps students to acquire knowledge, competence or virtue.

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