Meme coins have gained an almost unexpected popularity in recent times, capturing the interest of many new cryptocurrency investors with their humorous approach, economical price and potentially high returns. One meme coin which has taken the cyberspace by storm is Shiba Inu (SHIB).
Origin of Shiba Inu:
The Shiba Inu token was created in August 2020 by the pseudonymous developer known as “Ryoshi.” Shiba Inu is named after a breed of Japanese dog, which is also the mascot of Dogecoin, a more established meme coin. Ryoshi envisioned Shiba Inu not just as a fun meme token, but as an experiment in decentralized, spontaneous community building.
Role in Cryptocurrency Market:
Shiba Inu, along with coins like Dogecoin, are considered as joke or “meme” coins given their origin. However, it’s crucial to note that these coins have a substantial influence on the cryptocurrency market dynamics.
In May 2021, the price of Shiba Inu soared after the world’s richest man, Elon Musk, jokingly mentioned it in a tweet. Shiba Inu also received a powerful leg-up when Ethereum’s founder, Vitalik Buterin, burned a significant portion of the total supply thereby increasing its value.
With its ridiculously low price (fractions of a cent), thousands of investors are flocking to buy billions or even trillions of Shiba, hoping that the price will ascend even slightly so they can make significant returns. This hype and interest led to the listing of Shiba Inu on established cryptocurrency exchanges such as Binance and Coinbase.
Future Potential:
Given its recent listing on major platforms and the hype surrounding the coin, it’s possible that Shiba Inu might continue to grow. However, as a meme coin, it’s also crucial to understand the volatile and risky nature of this investment. The future potential of Shiba Inu, like many cryptocurrencies, is highly uncertain and speculative.
Additionally, the development team behind Shiba Inu plans to create a decentralized exchange (DEX) called ShibaSwap, which could add more utility to the Shiba Inu ecosystem and potentially increase the value of the coin.
Because Shiba Inu was relatively unknown and unremarkable until recently, it’s difficult to predict its future with certainty. Its value could increase or disappear entirely, as market influence is highly driven by social media buzz, celebrity endorsement, and speculative buying.
Impact:
Meme coins like Shiba Inu have brought a new dynamic to the world of cryptocurrency. Non-conventional, humorous, and quite volatile, they have attracted legions of new investors, thereby democratizing the world of cryptocurrency.
Their rise has significantly increased cryptocurrency awareness, encouraged new forms of community building, and fostered engagement in conversations about decentralized finance. However, they have also sparked discussions and concerns about market volatility, investor protection and the quality of crypto-related information available to the public.
In conclusion, Shiba Inu, like other meme coins, has made a significant impact in the cryptocurrency space, upending traditional views of what constitutes “value.” But the inherent risks involved in this form of investment cannot be understated and must be thoroughly considered.
