What is Shiba Inu? Profit and risk when investing in SHIB

Shiba Inu is one of the most famous meme coins today, attracting the attention of millions of investors around the world. But what is behind that popularity? Is Shiba Inu just a temporary craze or a potential investment asset? 

Let's explore with AZcoin the risks and profits when investing in SHIB.

What is Shiba Inu?

Shiba Inu is a meme coin created on the Ethereum blockchain in August 2020 by an anonymous developer known as Ryoshi. Inspired by Dogecoin, Shiba Inu's mascot is the Shiba Inu dog from Japan. The coin was designed to rival Dogecoin and has since developed into a substantial cryptocurrency ecosystem.

Key events and developments of Shiba Inu

Below are the major events and developments of Shiba Inu (SHIB) since its launch:

Risks and profits when investing in SHIB

Investing in Shiba Inu (SHIB) can bring both profits and risks. Here are some key points:

Profits

Profits

Basic information about Shiba Inu (SHIB)

Technical analysis

Token Allocation

Shiba Inu (SHIB) token distribution is done in the following main parts:

Shiba Inu Exchange

Shiba Inu (SHIB) is available on many leading cryptocurrency exchanges such as Uniswap, Binance, Coinbase, Kraken,... making it easy for users to buy, sell and exchange this token.

SHIB token storage wallet

To store SHIB tokens, users can use an Ethereum (ERC-20) wallet since SHIB is a token based on this platform. Wallets such as MetaMask, MyEtherWallet and Trust Wallet all support SHIB and allow for easy management of ERC-20 tokens.

Future Potential of the Shiba Inu

Shiba Inu (SHIB) has proven itself to be one of the most prominent meme coins in the crypto space, thanks to its popularity and strong community support. Known as the “Dogecoin killer,” SHIB has attracted a lot of attention from both retail and institutional investors. Similarly, new projects like Rizz Monkey are also vying for attention in the meme coin market.

Potentially, SHIB could continue to benefit from the growth trend of DeFi and NFT projects, especially with the development of ShibaSwap, its DEX platform. According to data from CoinMarketCap, SHIB has seen significant growth in value and trading volume, with a market capitalization of around $5 billion by August 2024.

However, SHIB relies on community excitement and does not have a strong technological foundation like mainstream projects. SHIB's high price volatility can lead to large losses, as CoinGecko data shows volatility of up to 1000% during bull runs.

Therefore, while SHIB may offer attractive profit opportunities, investors need to carefully consider the risks and not invest more than they can afford.

Conclusion

Hopefully, with the information that AZcoin has compiled above, you have an overview of Shiba Inu and the potential risks when investing in this coin. The cryptocurrency market is extremely volatile, so always research carefully before making an investment decision.