71
Shiba Coin also known as Shiba Token is a new decentralized cryptocurrency that was created in August 2020 by a person who uses the nickname “Ryoshi”, its real identity is still a mystery.
With an extremely active community, the token has attracted more and more investors who believe in the potential of the cryptocurrency, as its main objective is to be a totally decentralized ecosystem.
In order for them to achieve this goal of becoming fully decentralized, their developers adopted a daring strategy at least where they sent 50% of all available tokens to Uniswap and threw away the keys.
The rest of the tokens were sent to Vitalik Buterin, Co-founder of Ethereum, with the intention that everyone could buy the tokens on a free market and developers not keep most of the tokens for themselves.
This strategy caused Vitalik to burn 90% of all tokens received and donate 10% to an institution in India, the COVID Relief Fund, which aims to alleviate the impacts of COVID-19 in the country.
What made the Shiba Inu price go up?
Apparently the cryptocurrency market didn't get tired of the famous “meme coin” and this week it became very clear.
Known as the “DOGE Killer” the Shiba Inu (SHIB) has gained around 400% this week in October 2021.
Becoming the 10th most valued cryptocurrency, all in just over 1 year after its creation.
But many wondered what was the real reason why Shiba Inu gained so much value in just a few days and that's what we're going to talk about.
Information obtained through services such as Whale Stats show that what may have actually caused the appreciation was a large buying move made by whales.
In case you didn't know, whales in the world of cryptocurrencies are users who make millionaire purchases of a particular cryptocurrency.
And that was very clear during this week, where purchases of values such as $10 million and even $40 million in Shiba Inu took place.
In addition of course to the huge group of investors known as Shiba Army who are also making many consecutive purchases of the currency over time.
Information released by the Santiment company also showed that the number of transactions over $1 million buying Shiba Inu increased during this week's “pump”.
A specific purchase of 6 trillion Shiba Inu took place on September 30th, just days before the huge appreciation of the cryptocurrency meme.
The volume of purchases made by whales also increased after all the coins donated to India's Corona Virus Fight Fund completed the sale of the 50 trillion coins received as a donation made by Vitalik Buterin, co-founder of Ethereum.
Another possible narrative is that rumors about the listing of the cryptocurrency in Robin Hood have become increasingly intense, attracting more investors to buy SHIB.
And this is very clear in the posts by members of the Reddit community, which have encouraged users to continue buying and holding their coins.
NFT's, token burning and a game can take the Shiba Inu to the "moon"
If you're not closely following the evolution of the Shiba Token, you're probably not fully aware of what's going on behind the scenes.
Recently, the first 10,000 NFT's called Shiboshis that have a token burning mechanism were released.
Every time someone buys a Shiboshi and changes its name, $100 worth of Shiba Inu is burned.
The Shiboshis in turn will be part of a new game that is being created by the Shiba Token team.
However this is not the only token burning mechanism created, in a Twitter post the same developer reported partnering with a company that offers payments in cryptocurrencies.
In this partnership, payments using Shiba Inu will be facilitated for the public that wants to use the token as a form of payment and with each purchase, part of the tokens are burned.
Therefore, long-term real-world use will likely lead to a decrease in circulating tokens, thus making the Shiba Inu even more rare and valued.
The fact that Shiba Coin's price has appreciated so quickly has attracted media attention and this behavior is similar to the move that led Dogecoin to be worth almost $1.
In other words, the future of the currency can be very promising and have applications for use in the real world, which can be extremely significant for the future of the token.
If you want to buy #SHIBA, you can buy through , if you decide to use my link you will receive 5% discount on fees.
