Sep 16, 2022 at 01:47Contents
With meme coins becoming a controversial topic in the crypto sphere, Shiba Inu has made quite a mark in the blockchain industry. Functioning on the Ethereum network, Shiba Inu implemented its decentralized exchange network in July’2021 called the ShibaSwap.
Inspired by the meme coin Dogecoin, which acclaimed its fame for quite some time in the cryptocurrency chain, the crypto coin Shiba Inu gave rise to a new decentralized exchange ecosystem called ShibaSwap. This DEX platform allows investors to earn and invest in more ways without the intervention of any third party or central governance. The rules are much more relaxed with maximized potential for investors.
With ShibaSwap gaining momentum in the cryptocurrency market, we have written this article to help you have an insight into how ShibaSwap works and its purpose in the current crypto scenario. Read on to understand the ShibaSwap platform and how it has benefitted thousands of investors over the past few months.
Before we get into the facts, let’s first look into what we understand by the term ShibaSwap:
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What is ShibaSwap? Defining the dedicated decentralized platform
ShibaSwap is a decentralized exchange platform that allows investors to dig, bury and stake their crypto assets. Well, not literally, but this is true in the ShibaSwap verbiage. Read on to find out how these actions work in the ShibaSwap platform.
Offering traders more security, privacy, and control over their transactions, ShibaSwap is a promising response to Shiba Inu (SHIB) holders and remaining crypto traders alike. Enabling users to utilize their assets in different ways to earn passive income in a peer-to-peer manner, ShibaSwap has acquired a lot of investors in this volatile crypto-market ecosystem.
As a leading competitor of Dogecoin, ShibaSwap has had a rising graph over the last twelve months with its decentralized features, eliminating the need for third-party interventions and introducing easy transactions and exchange options. This Shiba Inu project has introduced features similar to those in Uniswap, such as liquidity pools, token swapping, staking, and governance, captivating a potential community of holders for its current value.
ShibaSwap Release Date
Announced on the social channels of the Shiba Inu ecosystem, ShibaSwap was launched on July 6th’2021. Before its launch, Indian holders of the Shiba Inu currency traded from the decentralized exchange platform WazirX. The release of the ShibaSwap platform made it convenient for traders to conduct transactions via ShibaSwap and invest in Shiba Inu’s sibling tokens, LEASH, and BONE.
As proclaimed by ShibaSwap on their official website, “Between its international recognition and legitimate utility, SHIB is up thousands of times. SHIB is the first to be listed and incentivized on ShibaSwap, our proprietary DEX.” on the day of launch, the exchange platform managed to acquire traders who have bought billions of Shib coins to roll their passive income.
Let’s explore the background of ShibaSwap to understand how the meme coin came into the market and has made a prominent place by now:
Background: An insight into the history of ShibaSwap
Dogecoin, the popular virtual currency that earned worldwide fame and acknowledgeable profits in the crypto market, acted as the catalyst behind the creation of the meme coin Shiba Inu. Shiba Inu was created by a pseudonymous founder named Ryoshi in August ‘2020 as the “Dogekiller” with the idea that it would beat the competency offered by Dogecoin.
Designed to outperform Dogecoin by keeping the value of SHIB tokens so low that investors can own billions and trillions of tokens, investors started investing in SHIB tokens at a significant amount.
Ryoshi built the decentralized ecosystem of ShibaSwap based on Ethereum to establish a secure network of exchange that stays decentralized and outside the intervention of third parties. This gave traders and investors freedom over their assets without prior approval or authorization. This allowed people to decide what to do with their investments.
The ShibaSwap platform introduced three tokens in the ecosystem, Shib, the foundational currency of the ShibaSwap network, Leash, and Bone, with Bone acquiring the governance in the ShibaSwap decentralized ecosystem.
Now we will understand the features of the ShibaSwap platform and how it works to gain clarity about these popular tokens:
How ShibaSwap Works?
To understand how ShibaSwap works, it is essential first to understand the three chief tokens in the ShibaSwap platform.
Although SHIB is the native token of ShibaSwap, the DEX is pioneered largely by Leash and Bone. While BONE owns the governing authority as mentioned above, LEAN pioneers the scalability of the ShibaSwap platform.
With the governance power on BONE, it regulates changes in the DEX through LEASH and gives its holders the ability to vote, which means that people with a more significant number of the BONE tokens have greater voting power on the DEX platform.
Originally known as “Dogekiller”, the LEASH is another token in the DEX platform that anchors ShibaSwap. Initially, Leash leveraged the value of Dogecoin to increase its value over time. This dynamic ensured that the value of LEASH was higher than Dogecoin.
Leash no longer leverages Doge prices; instead, it is more like a deciding token for ShibaSwap investors, performing as the main store of value for them.
Now the ShibaSwap platform has several features that put the three tokens into play, rolling profits for the investors in this DEX platform. These are DIG, BURY, WOOF, and SWAP.
Features of ShibaSwap:
- DIG
By ‘digging’ in the ShibaSwap platform, investors are letting the platform have enough assets to execute the transactions. Digging your tokens favors the platform’s liquidity pool function, providing liquidity to keep each transaction running.
For every token you are digging, you will receive a ShibaSwap Liquidity Protocol (SSLP) version of the asset. These SSLP tokens allow you to receive free BONE tokens on a redemption basis.
The catch here for investors is that, as they dig LEASH tokens, they also earn 0.01% on every USD coin and Wrapped Bitcoin on the platform. Users who dig BONE tokens earn BONE SSLP tokens and acquire 0.01% of all DAI-USD and Tether transactions on the forum.
- BURY
The bury function in the ShibaSwap verse allows users to bury their LEASH, SHIB, and BONE tokens in return for xSHIB, xLEASH, and xBONE, respectively. The most important thing to know about burying these tokens is that no matter which token you choose to bury in the DEX platform, the yielding will always be BONE. This highlights the fact that BONE has the governance power on the ShibaSwap platform.
Users can earn 3% of BONE minted in each block of data by burying SHIB, and in return, they earn xSHIB tokens. These tokens distribute a net percentage of all ETH transaction fees on the decentralized ShibaSwap platform, and part of these fees are transformed into SHIB tokens.
By burying LEASH, users can earn 1% of BONE minted in each data block and earn xBone. It also nets users a part of all ETH transactions to LEASH, which can prove profitable for investors given that the price of LEASH is low and it has a limited supply.
Lastly, as you bury BONE, you are entitled to 1% of BONE minted in each new data block and a part of the fee converted to BONE. Experts advise burying BONE as a wise move as it gives you greater voting power with increasing BONE tokens.
With burying, you also get the option to un-bury in the DEX ecosystem. However, when you unbury, you have access to 33% of your assets, while the remaining 66% can only to unburied after six months. Nevertheless, burying SHIBA INU and its sibling tokens will accrue your token value over time.
- WOOF
The Woofing feature in the ShibaSwap platform allows users to redeem their BONE returns by swapping SSLP tokens they earned on the platform.
- SWAP
The SWAP feature in ShibaSwap allows users to swap their assets on the platform.
- BONEFOLIO
Bonefolio is a feature on the DEX platform where users can track their yields and returns, which explore newer interests.
- NFTs
Taking a leap into the NFT verse, ShibaSwap allows users to trade up to 10000 “Shiboshis”, which are distinctive NFTs. These tokens are designed as pixelated Shiba Inu cartoon images with a variety of traits, where some are rare as compared to others.
One new to the cryptocurrency market might find all these features in the Shiba verse nothing less than jargon if they don’t see the return of investment and gains that traders enjoy by investing in this DEX network.
This brings us to the question!
What is the purpose of ShibaSwap?
Based on the ETH exchange network, ShibaSwap provides a decentralized ecosystem where traders can exchange valuable assets without centralized intervention or authoritative approval. This makes ShibaSwap more viable, giving more power to the users to exercise their rights to bury, stake, or dig decisions freely.
ShobaSwap acts as a safe exchange platform users can swap multiple assets and earn rewards based on their stakes.
The 3 Flagship Tokens of ShibaSwap
We have already introduced the three ShibaSwap tokens in this article while explaining how the DEX platform works, but let’s have a clear understanding of these three tokens in detail:
- SHIBA INUShiba Inu is primarily the foundational currency of the ShibaSwap ecosystem, and it started as a meme token in August’20. Though the utility and the actual value are still in debate, it has succeeded in being adopted as a payment method. With over 500 merchants currently accepting SHIB as payment tokens, the same can be staked and exchanged for other tokens in the Shiba Swap app.
- BONEOne of the primary anchoring tokens of the ShibaSwap ecosystem, BONE has a supply of 25 million tokens, with each valued at $2.69 as of now. Users staking upon BONE tokens have more rights in future changes and vote on any changes in the ShibaSwap protocol through “Doggy DAO”.
- LEASHLEASH has the least supply in the Shiba verse. With a pool of 107,646 LEASH tokens in circulation today, valued at $3,100, it is no surprise that LEASH tokens are expensive and hold a high demand in the market. Investing in LEASH has proven to be lucrative for investors in the past few months, as the value of the LEASH token has accrued over time.
As we understand the ShibaSwap, another question lingers in our minds, with data security being quite the topic these days. The question is whether the decentralized ecosystem of ShibaSwap is safe. Read on to find out!
Is ShibaSwap Safe?
With a trust score of 93/100, as declared by Certik, the standard security service for the crypto market, and a record of resolving 97% of about thirty-four issues that were raised during an audit, ShibaSwap has been a safe platform for investors.
On another note, Defi safety’s reviews regarding the security of ShibaSwap were not entirely positive. It is important to note that before you invest in any crypto platform, you must do your research and have a sound knowledge of the safety measures to keep your assets safe.
If you are looking forward to being a part of the Shiba verse and wondering where to start your journey, we are here to help you go onboard on the ShibaSwap platform and start investing:
How to Get Started With ShibaSwap?
To start using the ShibaSwap platform, you need to first set up a compatible crypto wallet account in one of the following:
Once your wallet is created, you should make a copy of the secret phrase on paper or somewhere you can remember instead of keeping it on a virtual medium to ensure its security. Following this, fund your wallet with ETH so that you can cover the transaction fees and convert it to SHIB, LEASH, and BONE tokens.
Click on the “Connect” icon on the top right of the official website of ShibaSwap to link your account and choose your wallet services. Upon completion, you will be able to use the services in the DEX platform.
Takeaway
The cryptocurrency market has been volatile since its inception. Experts have been able to catch the pulse of the crypto market, with Dogecoin making quite a buzz in 2013. However, the market’s volatility makes it a sensitive issue. Investing in meme coins with a convenient entry point and scope of accruing value is always advisable rather than staking on a token at the top of the rally.
While you might fear missing out on a token with a high-demand chain, investing in the right cryptocurrency will help you acquire high ROI and profit sustainably. Although the gains in ShibaSwap are massive, for example, Shiba Inu’s 50,00,000% gains in the past twelve months reflect the potential profits this meme-inspired token can arrive, it is essential to have sound knowledge and foresight to envision the future trends and invest.
Solely intended for educational purposes, this article does not suggest or claim to be a piece of financial advice. Traders are requested to invest at their discretion and do thorough research before investing.
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