The cryptocurrency market has over 18,000 cryptocurrencies as of March 2022. But not all these cryptocurrencies are active and valuable. If we discount the inactive or dead cryptocurrencies from this list, we’ll be left with around 10,000 cryptocurrencies that you may consider worth investing in. And out of these 10,000 cryptocurrencies, only 200 meme coins are available for trading.
While meme coins were initially created to poke fun at the rapidly growing altcoins, they soon ended up becoming a valuable coin worth your attention and investment. But if we drill down further, we only get a handful of meme coins that are still relevant today and have good future projections for the year. The Shiba Inu coin is one such meme coin that is raging in popularity today, giving tough competition to its rival Dogecoin. It also projects promising numbers for the coming years, making investors interested in this cryptocurrency.
If you’re an investor planning to add Shiba Inu to your portfolio, there are many things that you need to consider. To help you quickly cut down on your research time, we have curated an epic guide that lists all the essential information you must know about Shiba Inu before investing in it. So let’s quickly head to the crucial points shared below:
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A Strong Community Backs Shiba Inu
Among all the other factors contributing to Shiba Inu’s growth, a prominent factor is the strong support the coin receives from its community. At present, there are over 10,000 active cryptocurrencies in the market, but not every coin will make it in the long run. According to experts, cryptocurrencies with the strongest communities will be a safer bet for the long run. They have higher chances to withstand the market volatility than those without any community support.
A quick look at the current social media prominence and the list of celebrities supporting this coin will convince you that Shiba Inu has a good future. Till now the list of influential people supporting Shiba Inu includes Elon Musk, Nick Carter, Antonio Brown, Kai Greene, and many more. As more celebrities come out in support of Shiba Inu, its growth and demand is only going to increase in the near future. Litecoin is another coin that has a strong and dedicated community, so if you want to diversify your portfolio, you might want to invest in it. The LTC to INR price chart has been showing good signs over the recent years, so you can give a thought about investing in it.
SHIB, Shiba Inu’s Native Token, is an ERC-20 Token
As an investor, you may question why choose Shiba Inu over Dogecoin, as it was the latter that fanned the growth of meme coins after all. While this question is quite valid, the answer to this is very simple. Some investors believe Shiba Inu and Dogecoin are exactly the same coins serving the same purpose, which is not true. These two are not identical in nature. SHIB is an ERC-20 token, meaning it runs on the Ethereum blockchain network, while Dogecoin runs on the Bitcoin blockchain network.
Because Shiba Inu is an Ethereum-linked token, it can become a part of various decentralized finance (DeFi) projects. Such functionality provides people on the Shiba Inu network with enhanced utility and real-world applications for this cryptocurrency. You can consider both DOGE and SHIB as stores of value, but the latter clearly provides more utility than the former token. But there is one downside to owning a SHIB token. Unlike Dogecoin, Shiba Inu faces the heat of high transaction time and huge transaction fees of its parent network, i.e., Ethereum.
Dogecoin is now the world’s fastest blockchain network operating on a proof-of-work consensus protocol, which comes as a toss-up regarding which meme coin to invest in. Shiba Inu and Dogecoin are fundamentally different coins; hence, one cannot leave the other, assuming the two to be identical meme coins. But if you’re bullish on Shiba Inu, Ethereum’s upcoming Ethereum 2.0 upgrade can prove to be highly beneficial. In the end, it surely boils down to your individual investment goals, so you can choose to go ahead with either coin that matches your investment criteria.
Should You Invest in Shiba Inu?
If you want to wisely invest in a cryptocurrency that has the potential to grow in the long term and is backed by a strong community, you may consider adding Shiba Inu to your portfolio. However, always exercise due diligence before investing in any cryptocurrency as these are highly volatile and subject to sudden wild price swings.