Burning tokens increases scarcity, and as a result, the price is likely to go up. On May 16, to SHIB holders' delight, Buterin announced that he burned 90% of his Shiba Inu coins, and planned to donate the remaining 10% to charity. Although Buterin's shocking act was for a good cause, it unnerved SHIB token holders. On May 12, Buterin announced that he sold $1 billion worth of SHIB tokens for charity. The problem with Buterin’s large SHIB ownership is that if he decides to sell his tokens, SHIB’s price will experience a severe plummet - and that's exactly what happened. Benzinga, however, believes Shiba’s team gifted Buterin the coins to make SHIB more scarce. You're probably wondering, 'Why the hell would they do that?' The motive behind gifting Buterin Shiba tokens was not mentioned in the woofpaper, but according to Celebrity Net Worth, it was likely a publicity stunt. Interestingly, the woofpaper revealed that 50% of SHIB’s token supply was sent to Vitalik Buterin's wallet (Buterin is Ethereum’s founder). The woofpaper also delves into why SHIB runs on Ethereum, explaining that it is a secure, well-established blockchain that lets SHIB remain independent of moderating forces. 'A community-run token is nothing without the united individuals who give it purpose.' 'We believe through the power of collective decentralization, we can build something stronger than a centralized team could create,' SHIB's founder Ryoshi (psuedonym) said. banks and governmental bodies) from monopolizing control. Decentralization prevents authoritative institutions (e.g. Yet.How to buy Shiba Inu coin (Image credit: )Īfter perusing through Shiba Inu coin's 22-page white paper (the pun-loving author calls it a 'woofpaper'), the meme token's main mission is to preserve one of the main tenets of cryptocurrency: decentralization. Dogecoin, however, has enjoyed a resurgence in popularity within the last year thanks in large part to celebrity endorsements from the likes of Elon Musk and Mark Cuban. Quite often, people then cash out large returns, and more often than not, the meme coin is soon forgotten about. An internet community hypes up a coin online, and people buy lots of it-in turn pushing up the value. Meme coins are popular because crypto investors can (sometimes) make easy money from them. Its developers said in SHIB’s whitepaper that they did this to essentially lock the coins out of circulation, which helps to further drive up the price. Buterin, though, doesn’t have anything to do with the project. This means Buterin unwittingly now holds billions of dollars-worth of the crypto. In a strange twist, the anonymous developers behind the coin, which launched last August, have over the past year sent 50% of the token supply to the wallet address belonging to Ethereum co-founder Vitalik Buterin. “Never happened before for any other ERC20 coin.” “There is a large number of users demanding it, to the point where we ran out of ETH deposit addresses due to SHIB today,” Zhao wrote. In the past seven days, its price has rocketed up 1,210%.ĭemand for the coin was so high today that Binance couldn’t cope with the demand. Its price is up 79% in the past 24 hours. Today SHIB was trading at $0.00002648, according to CoinMarketCap data. It is also a meme coin: a crypto token whose worth depends on how funny the Internet finds the joke it represents.Īnd this meme coin is based on the Shiba Inu internet meme-the same meme that the hugely popular Dogecoin is based on. This means it runs on the Ethereum network.

Zhao, however, made it clear that Binance listing the token should not be interpreted as an endorsement of the coin's potential value: “Super high risk. Never happened before for any other ERC20 coin. There is a large number of users demanding it, to the point where we ran out of ETH deposit addresses due to SHIB today. Some have voiced concerns about $SHIB listing.

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