Shiba Inu Vs Ethereum: Battle of the Crypto Coins
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If you are wondering why would anyone compare Shiba Inu with Ethereum, consider reading up on Shiba Inu. You will be surprised by the market surge Shiba Inu has grabbed in the year 2021 making it a center of attention for crypto enthusiasts around the world.
Now, we are familiar with the popularity of Ethereum, and knowing that there are some striking differences between the two, primarily focused on its nature and its utility, it makes it imperative to pen down the details.
In the next few paras, you will see Shiba Inu Vs Ethereum cryptocurrencies, their traits, individual strengths, and weaknesses that decide the stability in the market. It will give ample idea on which currency has a brighter future. If the facts about cryptos interest you, continue reading. Hence, to know these cryptocurrencies, let us begin with the basics.
Shiba Inu and its token SHIB
If you are here, our understanding is that you are probably familiar with both terms Shiba and Ethereum. However, if you have just started on the crypto subject, this blog will also work for you as an intro guide. Like many other cryptocurrencies, Shiba Inu is a decentralized meme token that has grown into a thriving ecosystem.
The invention of Shiba Inu is also as interesting as that of Bitcoin. Ryoshi, an anonymous individual, established it in the year 2020. There are also claims that it was built as a prank in 2013 and was popularized as a “Dogecoin killer”.
As the name suggests, named after the Japanese dog breed Shiba Inu, it also follows the same theme. However, Shiba Inu is more than just a Dodge coin clone. Because Shiba is built on the Ethereum network, it is more adaptable than even Bitcoin. Shiba Inu has also created Shibswap, a decentralized exchange and SHIB is the official token. The Shiba Inu committee rewards the DEX users with SHIB. This allows users to sell a huge amount of ERC 20 tokens.
Ethereum and its native currency ETH (Ether)
Ethereum is a distributed, open-source, decentralized computing platform that allows the development of smart contracts or decentralized applications (dApps). With the debut of Ethereum in 2015, a new generation of blockchains was born, providing significantly more flexibility and functionality than the previous blockchains. Unlike Bitcoin and Litecoin, Ethereum allows for the creation of whole financial transaction ecosystems.
Ethereum is currently the second-largest cryptocurrency behind Bitcoin and the most popular platform for DeFi protocols. Ethereum has had a significant impact on the crypto field by allowing developers to implement smart contracts and build ever-more-complex projects. Interoperability is becoming increasingly vital in the cryptocurrency sector as many projects, including Shiba Inu, are based on Ethereum.
To create new currencies or decentralized apps on the Ethereum network, developers must pay a fee to the network in ether, Ethereum’s native currency. This price is also popular as “gas”.
Should I buy Shiba Inu or Ethereum?
Shiba and Ethereum are both high-risk assets, so make sure you’re willing to accept the high amount of risk and volatility before you invest.
While none of these cryptocurrencies is considered a secure investment, Ethereum may be less risky than Shiba due to its long track record and more brand awareness. Shiba, on the other hand, may have more prospects for growth in the future.
Within the crypto sector, Ethereum has various competitive advantages, one of which is its blockchain technology. Furthermore, Ethereum is migrating from a proof of work (PoW) mining mechanism to a proof of stake (PoS) model. This means that the mining process will no longer require high-powered computers to solve complicated riddles, reducing energy usage and making Ethereum significantly more ecologically friendly.
Shibarium, Shiba Inu’s newest blockchain project, is also fueling the company’s recent surge. The project’s purpose is to reduce transaction fees, making Shiba Inu more accessible to users. While Shibarium is not yet operating, its growth may be encouraging to investors.
The cryptocurrency also plans to enter the metaverse, with developers pledging to sell virtual land plots. This announcement may have contributed to Shiba Inu’s recent rise, given the metaverse is one of the hottest topics in investing right now.
Shiba Inu and Ethereum Use Cases
The Ethereum blockchain has the highest benefit in the crypto world overall. Decentralized autonomous organizations (DAOs), one of the early use cases, are institutions that lack central authority. The DAO rules are built into the software, and administrative decisions are voted on by a community of stakeholders. Ethereum has made it possible for startups to raise funds through initial coin offerings (ICOs). ICOs are token offerings that are comparable to the traditional IPO procedure.
This year, the NFT market is expanding, giving Ethereum yet another use case. NFTs are one-of-a-kind, indivisible, and scarce digital assets that can be used in gaming, art, and establishing the provenance of luxury products. DeFi is the most powerful innovation to gain widespread adoption and growth on Ethereum.
Shopping.io is a platform that allows users to utilize bitcoins to make purchases at major e-commerce sites. The platform currently supports over 100 coins, including SHIB. Holders of cryptocurrency can use it to make purchases at Amazon.com Inc. (NASDAQ: AMZM), eBay Inc. (NASDAQ: EBAY), and big-box retailer Walmart Inc. (NYSE: WMT). All of these applications improve Shiba Inu’s utility as a payment mechanism. Any meme coin that finds relevant use cases and has substantial community support can find a position in the crypto business.
Also check out one of our other coin comparisons, Shiba Inu vs Bitcoin.
You may also get any of the coins mentioned on our favorite cryptocurrency exchanges:
Final look at Shiba Inu and Ethereum
Comparing Shiba Inu vs Ethereum is not going to be an easy task. Ethereum is a well-established project and has already gained significant traction. In fact, it is now the preferred platform for the great majority of emerging DeFi initiatives, including Shiba’s.
An interesting point, however, is that, even though Shiba Inu has less fan following, it might turn out to be one of its most important assets. Shiba is taking the necessary efforts to expand its fan base to enhance price performance. Most people believe that Ethereum is a more reliable investment, but that is mainly due to its popularity.
However, if SHIB continues its trend then there are high chances that people start accepting it as an investment option. Cryptos are still volatile and the market can plummet or rise without any warning. Hence, it is advisable to always carry out thorough research before investing in them.