Shiba Inu (SHIB) : What It Is, How It Works, and What This Memecoin Is Used For in 2025
Shiba Inu (SHIB) has emerged as one of the most captivating cryptocurrencies, openly challenging Dogecoin with its ambition to become the true "dogekiller." Since its launch in 2020, this meme crypto has built a complete ecosystem around Shibarium, its layer 2 blockchain, while fostering a passionate community of millions of investors. Discover the world of Shiba, its future prospects, and the opportunities it offers in 2025 in this comprehensive guide.
Shiba Inu (SHIB) is much more than just a cryptocurrency inspired by an Internet meme. It’s an ambitious project born from the desire to create a decentralized, community-driven alternative toDogecoin, with the explicit goal of becoming the “dogekiller” in the crypto ecosystem.
Unlike its illustrious predecessor, Shiba isn’t content with just being a meme-based digital currency. The project revolves around a complete ecosystem comprising multiple tokens (SHIB, LEASH, BONE), a decentralized exchange platform (ShibaSwap), and now its own layer 2 blockchain called Shibarium.
The SHIB token functions as an ERC-20 token on the Ethereum blockchain, thus benefiting from all the security and interoperability of this established network. This technical architecture allows Shiba Inu to easily integrate into the existing DeFi ecosystem while offering possibilities for evolution toward more scalable solutions.
The project’s visual identity is directly inspired by the Shiba Inu dog breed, the same one that gave birth to the famous “doge” meme. However, unlike Dogecoin, which features a smiling, benevolent dog, the Shiba Inu logo sports a more aggressive-looking animal, symbolizing its ambition to conquer the meme cryptocurrency market.
The History of Shiba Inu
The Shiba Inu journey began in August 2020, at a time when the cryptocurrency market was experiencing a major resurgence of interest. At that time, Dogecoin had already dominated the meme coin sector since 2013, but its anonymous creator Ryoshi identified an opportunity to create something different and potentially more ambitious.
The initial launch of SHIB was distinguished by a particularly bold approach: Ryoshi decided to create a total supply of 1 quadrillion tokens, or 1,000,000,000,000,000 SHIB. This astronomical quantity aimed to ensure that each unit remained financially accessible, even for the smallest investors. In a strong symbolic gesture, 50% of this total supply was immediately sent to Vitalik Buterin, the co-founder of Ethereum, creating a de facto “burn” since these tokens were considered lost.
The first few months following the launch remained relatively quiet, with the price hovering around $0.0000000014 per token. This latency period nevertheless allowed the community to structure itself and early adopters to establish their positions at negligible prices.
The real turning point came in March 2021, when interest in alternative cryptocurrencies exploded. The price of SHIB then began to show signs of life, reaching $0.00000006 by the end of the month. This first significant rise attracted the attention of investors and exchange platforms, marking the beginning of the project’s meteoric rise.
The year 2021 proved to be the year of consecration for Shiba Inu. In May, the token reached an initial peak of $0.000035, multiplying its value by several thousand percent in just a few months. This exceptional performance put SHIB in the spotlight of the entire crypto community and attracted mainstream media attention.
Who Created Shiba Inu ?
The identity of the Shiba Inu creator remains one of the most fascinating mysteries in the crypto ecosystem. Known only by the pseudonym Ryoshi (which means “fisherman” in Japanese), this enigmatic figure chose to remain completely anonymous, thus following the tradition established by Satoshi Nakamoto, the creator of Bitcoin.
Ryoshi communicated with the community primarily through posts on Medium and interactions on social media, sharing his vision of a decentralized and community-driven ecosystem. In his writings, he clearly expressed his ambition to create something that goes beyond the simple concept of a meme coin, envisioning a true ecosystem capable of competing with established projects.
Ryoshi’s philosophy is characterized by a resolutely decentralized approach. Unlike many crypto projects where founders retain significant control, Ryoshi deliberately chose to distribute power within the community. This approach is manifested notably by sending 50% of the total supply to Vitalik Buterin and by the progressive renunciation of the project’s control keys.
In May 2022, Ryoshi made a surprising decision that marked a turning point in the project’s history: he deleted all of his social media posts and permanently withdrew from public communication. In a final message, he explained that his mission was accomplished and that the project should now live autonomously, carried by its community.
This voluntary disappearance paradoxically reinforces the project’s credibility by demonstrating its creator’s commitment to decentralization. It also places Shiba Inu in a particular category of “orphaned” but autonomous crypto projects, similar to Bitcoin after the disappearance of Satoshi Nakamoto.
The SHIB token fulfills several essential functions within the Shiba Inu ecosystem, far exceeding the simple status of a meme coin to become a true multi-purpose utility. This versatility is one of the project’s major assets and partly explains its resilience to market fluctuations.
The primary function of SHIB lies in its role as a decentralized governance token, allowing holders to participate in important decisions regarding the evolution of the ecosystem. This participatory governance directs the project’s development according to the wishes of its users, thus reinforcing the community aspect that characterizes Shiba Inu.
Within ShibaSwap, the ecosystem’s decentralized exchange platform, SHIB serves as a base token for numerous operations. Users can use their SHIB to provide liquidity to trading pools, an activity rewarded with BONE tokens. This yield farming mechanism allows SHIB holders to generate passive income while contributing to the platform’s liquidity.
Staking represents another major utility of SHIB. Holders can “bury” their tokens on ShibaSwap to receive xSHIB, tokens representing their staking participation. This operation not only secures the network but also allows for regular rewards, creating an economic incentive for long-term holding.
With the advent of Shibarium, SHIB acquires new utilities as a fee token for certain operations on this network, although BONE plays the main role of gas token. The Shiba InuNFT ecosystem also constitutes an important use case, with SHIB being used to buy and sell NFTs on dedicated marketplaces, notably the Shiboshis collections.
Commercial partnerships developed by the community allow SHIB to be used as a payment method in a growing number of online and physical stores. Finally, SHIB plays a crucial role in the burn mechanisms implemented by the community to progressively reduce the circulating supply, creating a deflationary pressure potentially beneficial for the price.
How Does the Shiba Inu Network Work ?
The technical architecture of Shiba Inu is based on a hybrid approach that combines the security of Ethereum with the advantages of Shibarium. The SHIB token functions as an ERC-20 token on Ethereum, inheriting all the security features of this established network.
Since Ethereum’s transition to Proof of Stake in September 2022, the Shiba Inu network benefits from this more “ecological” and efficient consensus mechanism. This technical evolution presents several advantages: reduced energy consumption and improved transaction finalization times.
Shibarium represents the most significant evolution of the ecosystem since its creation. This layer 2 blockchain uses a sidechain architecture compatible with the Ethereum Virtual Machine (EVM). Launched in August 2023, Shibarium can process several thousand transactions per second with near-zero fees.
The network relies on an adapted Proof of Stake model, using the BONE token as fuel. Interoperability between Ethereum and Shibarium is ensured by a system of bridges allowing assets to be transferred between the two networks. Currently, Shibarium has more than 2 million addresses and processes more than 4 million daily transactions.
Let’s now look at the strengths and areas for improvement of Shiba Inu.
The 5 Main Advantages
Exceptionally engaged community : The “ShibArmy” counts several million active members worldwide, creating a powerful network effect that far exceeds that of most crypto projects. This loyal user base ensures constant organic demand.
Complete and innovative ecosystem : Unlike many meme coins, Shiba Inu offers a coherent set of services with ShibaSwap, Shibarium, and various DeFi applications. This holistic approach creates multiple use cases and strengthens the intrinsic value.
Maximum financial accessibility : With a very low unit price, even investors with modest budgets can acquire significant quantities of tokens, promoting adoption by newcomers to the crypto universe.
Compatibility with Ethereum : Integration with the world’s most developed DeFi ecosystem allows holders to use their tokens on hundreds of decentralized protocols, multiplying opportunities for passive income generation.
Technical innovation with Shibarium : This layer 2 blockchain effectively solves cost and speed problems, positioning the project at the forefront of scalability solutions and opening new usage perspectives.
The 5 Main Disadvantages
Extreme volatility : The token undergoes particularly significant price fluctuations, potentially losing or gaining several dozen percent in a few hours. This instability makes the investment unsuitable for conservative profiles.
Dependence on market sentiment : The price of SHIB remains largely influenced by general crypto market trends and the enthusiasm for meme coins, rather than by solid economic fundamentals.
Intense competition : New similar projects regularly appear, attempting to replicate the success of Shiba Inu with sometimes more attractive promises. This competitive pressure requires constant innovation.
Astronomical supply : Despite burn mechanisms, the quantity of tokens in circulation remains considerable, requiring significant purchase volumes to generate significant price movements.
Absence of intrinsic revenue : Unlike traditional cash-flow generating assets, the token does not produce revenue by itself, with its value depending solely on supply and demand in the markets.
SHIB Price and Predictions
The analysis of Shiba Inu’s price reveals a particularly volatile trajectory, characteristic of meme coins but amplified by the exceptional enthusiasm that the project has generated. This section examines the historical evolution of prices, major influencing factors, and evolution perspectives for 2024 and beyond.
The journey of SHIB since its launch perfectly illustrates the unpredictable nature of crypto markets. Starting from $0.0000000014 in August 2020, the token experienced a meteoric rise that took it to its all-time high of $0.000088 in October 2021, a multiplication by more than 62 million in the space of thirteen months.
This exceptional performance is explained by the convergence of several favorable factors. The general enthusiasm for cryptocurrencies in 2021, combined with the perceived scarcity effect and increasing adoption by exchange platforms, created a massive buying dynamic. The media intervention of Elon Musk, who posted a photo of his Shiba Inu dog on Twitter, served as the final catalyst to propel the price toward its peaks.
The correction that followed this historical peak was just as spectacular. In February 2022, SHIB fell back to $0.000021, losing more than 75% of its value in a few months. This brutal drop reflects the general turnaround in the crypto market and the normalization of valuations after the euphoria of 2021.
The period 2022-2023 is characterized by a consolidation phase typical of crypto bear markets. The price of SHIB oscillates between $0.000006 and $0.000015, progressively establishing new support and resistance levels. This relative stabilization allows the ecosystem to develop without the pressure of extreme price movements.
It was only in February 2024 that SHIB experienced a spectacular return with an explosion of more than 350% in a few weeks, driven by general market optimism and positive developments of Shibarium. This remarkable performance demonstrates the project’s resilience and its ability to bounce back after difficult periods.
Predictions for [current_year]
Predictions suggest a potential target of $0.00008388 for [current_year], representing a 7x increase from current levels. This optimistic projection is based on several key assumptions, notably the continued maturation of Shibarium and the progressive adoption of the token as a means of payment.
Technical analysts identify the sustained crossing of the $0.00003 threshold as a major bullish signal, opening the way to more ambitious targets. Conversely, a break of the support at $0.000008 could trigger a deeper correction. However, these predictions remain highly speculative in a notoriously unpredictable market.
These predictions should be taken with a grain of salt and should in no way replace your own analysis.
Important Moments in Shiba Inu’s History
August 2020: Quiet launch of SHIB by Ryoshi with a supply of 1 quadrillion tokens.
March 2021: First significant awakening with a 43-fold price increase.
May 2021: Initial explosion and reaching the first peak at $0.000035. Vitalik Buterin donates $1 billion in SHIB to an Indian relief fund and burns the rest.
October 2021: Historical peak (ATH) of $0.000088 following the Elon Musk effect.
December 2021: Launch of ShibaSwap, marking the evolution toward a complete DeFi ecosystem.
May 2022 : Voluntary disappearance of Ryoshi, reinforcing the project’s decentralization.
August 2023 : Revolutionary launch of Shibarium, repositioning the project as technologically advanced.
February 2024 : Strong comeback with an explosion of more than 350%.
Acquiring SHIB tokens is an essential step for those who wish to invest in the project, participate in its governance, or use the applications of its ecosystem. Due to its growing market capitalization and popularity, the SHIB token is available on the majority of centralized exchange platforms (CEX).
These platforms allow you to buy Shiba Inu directly with euros or dollars via different payment methods (bank card, wire transfer). Here is our ranking of the best platforms in [current_year] :
It is important to distinguish between specialized exchange platforms (like those mentioned above) where you actually buy and hold cryptocurrencies, and brokers who sometimes offer derivative products like CFDs (Contracts For Difference) on cryptocurrencies. For direct ownership and total control of your assets, it is preferable to use a specialized exchange platform.
How to Buy SHIB on Bitget ? Mini Tutorial
Here’s how to buy SHIB in 5 steps on the best platform in our ranking.
Create an account on Bitget :
Go to the official website
Click on “Sign Up”
Fill out the form with your email and password
Complete KYC verification :
Prepare a valid ID document
Follow the verification instructions
Deposit funds :
Fund your account on the platform. Via bank transfer, credit card, or other cryptocurrencies for example.
Place a buy order by specifying the amount of SHIB you want to acquire or the amount you want to spend.
You can generally choose between a market order (buying at the current price) or a limit order (buying at a specific price that you define).
Secure your SHIB :
After purchase, it is strongly recommended to transfer your SHIB tokens from the exchange platform to a secure personal wallet (see next section) to have total control over them.
Choose a platform that meets your needs in terms of fees, security, ease of use, and regulatory compliance in your jurisdiction.
Once you have acquired SHIB tokens, the question of their secure storage becomes paramount. Leaving your cryptocurrencies on an exchange platform (CEX) involves significant risks: you don’t directly control your private keys, and your funds could be lost in case of platform hacking, regulatory issues, or company bankruptcy.
This is why it is strongly recommended to transfer your SHIB to a personal wallet where you alone hold the private keys. “Not your keys, not your coins” is a fundamental adage in the ecosystem.
There are mainly two types of wallets for storing your SHIB :
Cold Wallets (Hardware Wallets) : These are physical devices (hardware wallets) that store your private keys offline, thus offering the highest level of security against online hacking. They often resemble secure USB keys. Recognized brands like Ledger (for example, Ledger Nano S Plus or Ledger Nano X) are the safest solutions for storing significant amounts or for long-term conservation.
Hot Wallets (Software Wallets) : These are software (mobile or desktop applications, browser extensions) that store your private keys on a device connected to the Internet. They are more convenient for frequent use and for interacting with decentralized applications (dApps), but are inherently more vulnerable to malware and phishing than cold wallets. Popular wallets like MetaMask or Trust Wallet can be configured to manage SHIB tokens.
The choice between a cold wallet and a hot wallet depends on your specific needs: prefer a cold wallet (like Ledger) for maximum security of your main investments, and possibly use a hot wallet (like MetaMask or Trust Wallet) for smaller amounts intended for regular interactions with Shibarium’s DeFi ecosystem. The essential thing is to always carefully secure your recovery phrase (seed phrase) and never share it or store it digitally.
Several legitimate methods allow you to obtain free SHIB. Airdrops constitute the most common method, organized by partner projects to promote adoption. Otherwise, reward programs on exchange platforms regularly offer SHIB via paid educational missions.
Crypto faucets also distribute fractions of tokens in exchange for viewing advertisements, although the amounts are minimal. Finally, referral programs on platforms can reward users who invite new members with SHIB bonuses.
Is Shiba Inu (SHIB) Legal ?
The legality of SHIB varies by jurisdiction, but the token generally enjoys legal status in the majority of countries that allow cryptocurrencies. In France and the European Union, SHIB is considered a legal digital asset under the MiCA regulation that is progressively coming into force.
In the United States, the SEC has not classified SHIB as a security, allowing its free circulation on American platforms. The situation varies in Asia, with different approaches depending on the country: Japan and South Korea authorize trading, while China maintains a general ban.
It should be noted that crypto regulation is evolving rapidly and investors should stay informed of changes in their jurisdiction.
Who Holds the Most SHIB ?
The distribution reveals a significant concentration among a few large addresses. Centralized exchanges are among the biggest holders, storing millions of users’ SHIB in omnibus wallets. Vitalik Buterin historically held the largest quantity before his historic donation and massive burn.
Whales constitute an important category with several addresses containing more than 100 billion SHIB. Of course, Ryoshi could also hold significant quantities, although no evidence allows identification of his addresses.
Our Review on Shiba Inu (SHIB) in [current_year]
The remarkable technical evolution of Shiba Inu since its beginnings as a simple meme coin towards a complete ecosystem constitutes its main asset. Shibarium demonstrates real adoption with its 4 million daily transactions, proving that utility now exceeds mere speculation.
The resilience of the community represents a major differentiating factor against the competition. Despite significant price corrections, the “ShibArmy” maintains exceptional engagement that translates into constant activity on the ecosystem’s platforms. This community loyalty constitutes a sustainable competitive advantage in a sector where many projects struggle to maintain interest.
Our recommendation for [current_year]revolves around a cautious but optimistic approach. Shiba Inu probably deserves a small place in a diversified crypto portfolio. Investors should favor a long-term holding strategy to benefit from the development of the ecosystem, while remaining vigilant against short-term fluctuations.
Rédacteur web depuis de nombreuses années et spécialiste en SEO, Thomas a rejoint l'équipe d'InvestX dès le lancement du projet. Passionné par l'univers des cryptomonnaies et du Web3, Thomas s'est donné pour mission d'offrir un maximum de valeur aux lecteurs et de les initier au monde des blockchains, qu'il considère comme l'avenir de la société.
FAQ – Frequently Asked Questions About Shiba Inu (SHIB)
What is the current price of Shiba Inu and its forecast for 2025 ?
Shiba Inu (SHIB) is currently trading around $0.000025 with a market capitalization exceeding $14 billion. Algorithmic forecasts suggest a potential target of $0.00008388 by 2025, representing an increase of 233%, although these projections remain highly speculative.
How to buy Shiba Inu safely?
Top platforms include Bitget, Binance, and Coinbase, offering strong security and liquidity. After purchase, it is recommended to transfer your tokens to a personal wallet like MetaMask or a hardware wallet for optimal security.
What is Shibarium and how does it work ?
Shibarium is Shiba Inu’s Layer 2 blockchain enabling fast and low-cost transactions. This solution processes over 4 million daily transactions and uses the BONE token as gas currency, while remaining compatible with Ethereum.
Can Shiba Inu really reach 1 dollar ?
Reaching $1 would require a market capitalization in the hundreds of trillions of dollars, surpassing the global economy. Even with massive token burns, this goal remains unrealistic according to current economic analyses.
What are the risks of investing in Shiba Inu ?
The main risks include extreme volatility, reliance on market sentiment, and intense competition. Investors should consider regulatory developments carefully and never invest more than they can afford to lose.
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