The digital asset was inspired by the Japanese dog breed of the same name, which sparked a viral meme trend in 2013 and subsequently led to the creation of another well-known cryptocurrency, Dogecoin (DOGE).
The SHIB coin, which at the dawn of its existence was perceived as a memcoin and a clone of DOGE, today is of interest to many crypto investors. And recently, its creators announced the launch of their own stablecoin. Shitoshi Kusama, the lead developer of the Shiba Inu, chose not to reveal exact development dates and timelines, but he mentioned in his blog that he expects one or more of the technologies to arrive sooner late summer or early autumn. We talked with Zamio Ecosystem Founder George Gus about this sutuation.
What is the reason for the popularity and success of SHIB? Why, despite the fact that the coin is positioned as a meme-coin, it is already not far from the TOP-10 cryptocurrencies of capitalization and is now a serious project that has grown into a full-fledged financial ecosystem.
Let’s get back to history. Once the creator of SHIB gave about 50 percent of the coins to Vitalik Buterin, who endowed SHIB with some “superpowers”, creating user confidence in the token. A similar story happened with DOGE coin under the influence of Elon Musk.
In general, initially, it was a social experiment, and gradually the tool for pulling in hamsters began to work. As a result, a strong community was formed, and the founders of the project decided to develop SHIB further. SHIB had all the main factors for project sustainability: a strong community, a listing on Binance, so why not develop a mem-coin into an entire ecosystem? And so it turns out: they developed their own Swap, which is used by more than a million people a month.
Will SHIB’s stablecoin succeed, given not only the reputation of the coin itself, but also the recent situation with UST from Terra (LUNA)?
I have not heard about the creation of the SHIB stablecoin, but I am sure that the project has every chance to make a successful coin. In fact, SHIB can develop an entire ecosystem based on its token. They have a strong community, good support, hype. I’m sure the SHIB stablecoin will be excellent.
Why are coins that do not carry any practical value and usefulness often more successful in the market than really worthy and unique projects? Is it really just a matter of hype and proper marketing?
It’s all about the hype. They were lucky to attract a large number of unenlightened people for whom it is important to have a large number of coins in their wallets. At the same time, they do not think that the token is very cheap, and they expect growth by several times. Many come in with $200-$300 expecting to make $10 million because they’ve heard a lot about the history of bitcoin. Therefore, many began to look for very cheap coins, hoping for a strong increase in price. As a result, many lose money, but this becomes their entry into the crypto market, helping to make the mass adoption of DeFi. Such light projects like mem-coins lure people into the world of crypto.
And not everyone needs a serious investment in crypto. Many people just want to buy and forget about the token. In any case, the crypto winter will put everything in its place and the future is clearly in ecosystems. Of course, memecoins will continue to live, but only at the level of hype.