What is Shibarium?
Shibarium, an upcoming layer-2 (L2) blockchain network developed on Ethereum for Shiba Inu, holds the promise of reshaping the landscape of this memecoin into a full-fledged ecosystem. Proposed by Ryoshi, the anonymous creator of Shiba Inu, the Shibarium project seeks to establish a blockchain layer-2 solution on the Ethereum network. This evolution aims to elevate Shiba Inu beyond its memecoin status by incorporating elements like a decentralized exchange (DEX), a metaverse, and blockchain games such as Shiba Eternity.
Memecoins, characterized by comical or animated internet memes, are known for their high volatility and are often influenced by pop culture. Shiba Inu (SHIB), with a total supply of 1 quadrillion (1,000 trillion), falls into this category. The Shibarium portal is envisioned as the key to restructuring Shiba Inu into a stable and multi-faceted ecosystem.
While the Shibarium developers have yet to announce a specific launch date for the project, an alpha preview of the SHIB metaverse, a crucial component of the initiative, was showcased at SXSW 2023 from March 13 to 15. Originally slated for a February 2023 release, the launch was delayed to ensure a flawless version, with developers prioritizing thorough testing across various phases before introducing it to the public. Discover the ins and outs of buying Shibarium Coin in our comprehensive guide. If you’re interested in expanding your cryptocurrency portfolio, explore our article on acquiring Pooh Coin for additional insights into the purchase process.
What does Shibarium mean for Shiba Inu?
Shibarium’s introduction promises several benefits for the Shiba Inu network. Key advantages include enhanced transaction speeds, reduced transaction costs, expanded token functionality, and streamlined development of decentralized applications (DApps).
Despite Ethereum’s transition to a proof-of-stake (PoS) system via the Merge, scalability issues persisted alongside its strong security features. Shibarium, also a PoS initiative, aims to augment Shiba Inu’s scalability while maintaining its connection to the Ethereum blockchain. This development is anticipated to solidify SHIB’s value and position Shiba Inu as a project with substantial, long-term potential.
Here’s an overview of how Shibarium could unleash the inherent potential of this well-known memecoin:
- Increased Transaction Speeds: Shibarium, by adding a layer 2 solution to the Shiba Inu framework, promises to enhance overall transaction capacity. This improvement is expected to significantly elevate transaction speeds, although exact details on throughput are still forthcoming;
- Reduced Transaction Fees: Ethereum’s high transaction fees have been a longstanding issue. At times, these fees exceed the transaction value itself. For example, a minor $10 transaction could incur a $50 fee in Ether (ETH). Shibarium’s layer-2 approach is set to dramatically reduce these fees, making them almost negligible;
- A Comprehensive Ecosystem: Shibarium aims to transform from a simple memecoin to a holistic ecosystem, incorporating diverse projects like the SHIB metaverse, ShibaSwap DEX, and blockchain-based games. This ecosystem, including the metaverse and games, is expected to attract users, while the DEX will enhance liquidity;
- Enhanced Token Utility: Despite the burning of over 40% of SHIB tokens, the remaining supply still poses a challenge for its value growth. Shibarium introduces BONE as its native token to address this. With Shibarium’s launch, network validators will receive BONE for transaction validation and security. Furthermore, each transaction in the new ecosystem will utilize SHIB, helping to manage its abundant supply;
- Facilitating DApp Development: DApps, or decentralized applications, run on a decentralized, peer-to-peer network. Previously, the memecoin lacked the infrastructure to support DApps effectively. Shibarium plans to build a strong ecosystem that includes a layer-2 solution aligned with Ethereum, offering the technical foundation for DApp development within the Shiba Inu ecosystem.
Shibarium’s Coin Variety
The Shibarium ecosystem is set to feature a variety of coins, each playing distinct roles within its dynamic framework.
Shibarium, presenting a markedly different landscape from Shiba Inu, will introduce a range of digital tokens, all aligned with the overarching dog theme:
| Token | Description |
|---|---|
| SHIB | ERC-20 token that powers Shiba Inu, in circulation since August 2020. Market value fluctuates, not surpassed $1 per token. |
| BONE | Governance token on ShibaSwap, now a utility token in Shibarium. Developers compensated in BONE, capped at 230 million coins. |
| LEASH | Restricted supply of 107,646 tokens, staked for rewards. Rewards include xLEASH tokens minted upon unstaking. |
| TREAT | Reward token for validators and developers, distributed upon milestones. Also an incentive for liquidity pools on ShibaSwap. |
| SHI | Stablecoin in the Shibarium ecosystem, aims to counterbalance payments and mitigate market fluctuations. |
Where and How to Purchase Shibarium Coin?
Selecting a Cryptocurrency Exchange
Shibarium Tokens are not yet available through traditional banks or investment firms. Currently, acquiring them requires using a cryptocurrency exchange. These platforms enable you to convert your U.S. dollars or other fiat currencies into Shibarium Tokens or other cryptocurrencies.
A couple of exchanges where Shibarium Tokens are available include BitGet and Uniswap. These platforms offer an online marketplace for buying and selling Shibarium Tokens.
Exchanges:
- BitGet: Instructions for Purchase;
- Uniswap: Immediate Trading Option.
Risks and Security
Unlike bank accounts insured by institutions like the FDIC, cryptocurrency investments lack such central backing. This means that if your account or the exchange platform is compromised, you might lose your investment.
If you choose to keep your cryptocurrency in an exchange account rather than transferring it to a personal crypto wallet, prioritize exchanges with robust security measures, such as offline cold storage. Some platforms also offer additional insurance policies for added protection against hacking.
Exchange Fees
Fees on exchanges can significantly vary. They might be a flat fee or a percentage of your transactions, often influenced by market volatility and incurred per transaction.
While it’s important to consider fees, the quality of service, including security measures and other key features, is equally vital. Exchanges like BitGet and Uniswap might charge higher fees for these added benefits.
Fee structures differ: some exchanges use a spread or margin above the market price, while others apply a flat rate or percentage based on location, payment method, and other variables.
Exchanges with advanced trading options might employ a maker-taker fee model, which fluctuates with market prices. Understanding the exact fee structure of your chosen exchange, available on their website, is crucial before proceeding.
| Exchange | Maker Fees | Taker Fees |
|---|---|---|
| BitGet | 0.1% | 0.1% |
| Uniswap | 0.3% | 0.3% |
Options for Acquiring Shibarium Token (SHIBARIUM)
Payment via Credit or Debit Card:
- Credit Card: Utilize a credit card, issued by financial institutions, to borrow funds for purchasing Shibarium Token. Most cryptocurrency exchanges require you to enter your card details to process this transaction. However, be aware that some exchanges may not accept credit cards for Shibarium Token due to the risk of chargebacks.
- Debit Card: Linked directly to your bank account, debit cards allow purchases using your available funds. Several exchanges accept debit card payments for Shibarium Token. Provide your card information, and the exchange will withdraw the required amount from your account to finalize the purchase.
To use these methods, link your card, specify the purchase amount, authenticate the payment, and await the transaction’s completion.
Purchasing via Bank Deposit:
This method involves transferring funds directly from your bank account to the exchange. Initiate a bank transfer to the exchange’s account, and once verified, the exchange will credit the equivalent Shibarium Tokens to your account.
- Pros: Lower fees and higher limits, especially for verified accounts;
- Cons: Slower transaction speed, as bank transfers can be time-consuming in many regions.
Peer-to-Peer (P2P) Trading:
P2P trading involves direct Shibarium Token exchanges between individuals, bypassing intermediaries like banks or centralized exchanges. P2P platforms facilitate connections between buyers and sellers and often provide escrow services for secure transactions. This method suits those seeking privacy, price negotiations, or with limited access to conventional banking.
Using Third-Party Payment Services:
These services act as intermediaries in Shibarium Token transactions. Instead of direct payment to the seller, the buyer uses a third-party service to hold funds in escrow. After receiving the Shibarium Tokens, the service releases the payment to the seller. This adds a layer of security and trust and may include features like dispute resolution.
Choosing the Right Storage for Your Shibarium Tokens
Your decision on where to store Shibarium Tokens largely hinges on their intended use. If you’re actively trading or plan to do so in the near term, keeping them on the crypto exchange or with your broker might be convenient. However, for added security or long-term holding, considering a cryptocurrency wallet is advisable. These wallets vary in types and security levels, providing different storage options.
Supported Wallets:
- Ambire Wallet;
- Atomic Wallet;
- Binance Chain Wallet;
- Bitcoin.com Wallet;
- BitKeep.
Hot Wallets vs. Cold Wallets:
- Hot Wallets: These are cloud-based wallets offered by exchanges or third-party providers, accessible via apps or web browsers. They are ideal for users who prefer ease of access for frequent trading. Hot wallets are often free and automatically store your Shibarium Tokens post-purchase;
- Cold Wallets: For heightened security, especially for long-term storage, cold wallets are preferable. These include hardware-based options like;
- Trezor: Offering compact wallets, priced approximately between $60 to $220;
- Ledger Nano: Resembling a thumb drive, these wallets range from around $60 to $120.
Requirements for Purchasing Shibarium Token:
To purchase Shibarium Tokens, whether through a traditional brokerage or a crypto exchange, you need to provide basic personal information. This includes your name, Social Security number, address, phone number, and bank account details. Some platforms might also inquire about your trading experience and risk tolerance. This information helps in setting up your account and ensuring compliance with regulatory requirements.
Diverse Uses of Shibarium Token
Shibarium Token holders have various options for utilizing their assets, ranging from conversion into fiat currency to direct usage in various transactions. While the direct use of Shibarium Token for payments is still evolving, the avenues are gradually expanding.
- Holding as an Investment: Many users choose to retain their Shibarium Tokens, anticipating an increase in value over time. This long-term investment strategy is common among cryptocurrency enthusiasts;
- Spending for Goods and Services: The versatility of Shibarium Token is showcased in its growing acceptance for various transactions. You can use Shibarium Tokens to pay for travel, purchase gift cards, dine out, and more, with the list of accepting vendors increasing regularly;
- Selling for Cash: Platforms like BitGet and Uniswap facilitate the easy sale of Shibarium Token. You can liquidate your tokens and transfer the proceeds to your bank or PayPal account, making the process straightforward and user-friendly;
- Transferring Globally: One of the standout features of Shibarium Token is the ease of international transfers. Unlike traditional cross-border transactions, sending Shibarium Token is almost instantaneous and can be done to anyone across the globe;
- Converting to Other Cryptocurrencies: If you’re interested in diversifying your crypto portfolio, you can convert a portion of your Shibarium Token balance into other cryptocurrencies. This flexibility allows for dynamic investment strategies;
- Donating to Causes: Shibarium Token also enables you to donate to various causes and individuals in need. This can be done through several websites that accept cryptocurrency donations, allowing for a new way of supporting charitable activities.
Conclusion
In essence, purchasing Shibarium DAO and Token involves understanding the fundamentals of cryptocurrency trading. From choosing the right exchange to selecting the optimal buying method, securing your Shibarium Tokens, and knowing their usage, it is essential to grasp these dynamics to navigate this space effectively. The ultimate goal is to take advantage of the potential growth and opportunities that Shibarium and the broader crypto world offer.