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Should You Buy Doge Or Shiba Token?

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2 months ago

Doge coin and Shiba token continue to keep getting so much media attention and hype so I decided I would answer the question: should you buy Doge coin or Shiba token?

 https://youtu.be/cW2GSK9zhXk

To save you a lot of time, the answer is to that question is neither.

 

To explain why Doge isn’t a good idea only takes 3 points:

-          Doge fees are 73x the fees of competing digital cash cryptocurrencies.

o   If you were to argue it’s digital cash, then you can’t compare to Bitcoin, you should compare it to Bitcoin Cash or Dash which currently have fees less than 1 cent while Doge is 73x at 73 cents. There are many other coins that are significantly cheaper too like Litecoin currently with fees $0.024.

o   You can compare fees here: https://bitinfocharts.com/comparison/transactionfees-doge-ltc-bch-dash.html#3y

-          They require millions of dollars per day just to not decline in value.

o   Doge produces approximately 10,000 coins per minute which is around 14,000,000 per day. Thus they require 14 million x the current price of Doge ($0.29107) = $4,074,980 just to keep the price from falling if the inflation is accounted for. Obviously they don’t actually need that full amount as the inflation doesn’t reflect immediately, but technically they should require millions of dollars coming in daily in order to not decline in value.

-          It doesn’t have good tokenomics or fundamentals.

o   The founders abandoned the project and there is little to no development or future for Doge and it’s completely reliant on hype and celebrity endorsement doesn’t work which we know, and I have covered in the past.

 

The explanation as to why Shiba Inu ERC20 tokens aren’t a good idea requires a little more effort. These four points should sum it up:

-          People have a lot of misconceptions about the token like that there are redistributions to followers, it’s deflationary, there are burns for every transaction, etc.

o   There are currently over 410 trillions coins that have been burned listed here in the burn address which also clearly shows there aren’t coins being sent for every transaction but rather individuals who are freely burning tokens: https://etherscan.io/token/0x95ad61b0a150d79219dcf64e1e6cc01f0b64c4ce?a=0xdead000000000000000042069420694206942069

o   In fact, you can follow this Twitter account that updates you everytime someone does voluntarily burn tokens: https://twitter.com/shibburn

-          So what is Shiba Inu token for then, what are its use case?

o   You hold it in hopes it will go up in value and stake it to earn bone, leash, and other sub-tokens for them to create an inflationary system without having to lessen the value of Shiba Inu to do so. Basically it’s like any other DeFi yield token trying to copy the same basic model as the rest.

-          The major issue with its model currently are the ETH gas fees.

o   To claim rewards, buy it in a decentralized, use their swap exchange, send it, sell it, and virtually anything you do with this token, you are paying extremely high ETH gas fees. While this will be somewhat alleviated in Q1 2022, it’s still so expensive that it inhibits it from being a useful token unless you only intend to hold.

-          They claimed to have thrown away the keys to all of the tokens locked in Uniswap

o   I think that generally explains why you want to stay away from this token, but don’t take it from me, take it from the creator and written clearly in the whitepaper: https://github.com/shytoshikusama/woofwoofpaper/raw/main/SHIBA_INU_WOOF_WOOF.pdf

o   This is found here: https://shibatoken.com/

o   In the whitepaper he clearly states on page 14 that they locked their remaining tokens into Uniswap and “we threw away the keys.” To me that is the perfect setup for a future rug pull, how can you verify that they truly did this? What happened to "Don't trust, verify" being the original motto of the crypto community? It seems people have stopped caring about this ethos. Let’s bring back “Don’t trust, verify” in a real way and start doing it.

-          There is a large debate around what has actually been burned and how much are actually circulating

o   Coinmarket recently increased the supply by 155 trillion and there is an ongoing debate whether or not to include the 40 trillion in the India COVID relief fund. Refer to this article the explains more: https://www.gfinityesports.com/cryptocurrency/shiba-inu-coin-circulating-supply-changes-coinmarketcap-shib/

 

Below are a few more Shiba token briefs I referred to:

https://www.coinspeaker.com/guides/introduction-to-shiba-inu-shib/

https://www.businessinsider.in/cryptocurrency/news/10-shiba-inu-coin-holders-own-71-of-the-meme-tokens-total-supply/articleshow/87347866.cms

 

Have you invested in Doge or Shiba? Do you think they are going to keep going up? What are the use cases of Shiba and Doge? Did I miss anything or was I wrong about anything? Let me know what you think about this in the comments below and don’t forget to subscribe!

 

*Disclaimer: This is not financial advice and is purely for entertainment purposes. What you see, hear, or read is my personal opinion, and any statements made are based on my views and should not be misconstrued as fact. My crypto portfolio may or may not be simulated*

 

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Comments

Thanks for this information i appreciate bro

$ 0.01
1 month ago

I hope doge coin is better than Shiba

$ 0.00
2 months ago

çok güzel bir makale olmuş tamda yatırım zamanı teşekkürler

$ 0.00
2 months ago

nice one

$ 0.01
2 months ago

Uh oh. I sold my Doge at a loss coz it never went up. Then I bought Shiba. I earned some, bought again, I'm holding it. Now it's going down. Hahahuhu! I'm subscribing to get to read more Crypto articles. :)

$ 0.01
2 months ago

I'm reading a lot about it and it looks good. Although you have presented a lot that I had not read. I have no plans to buy either. But if I were going to invest, it would be Shiba. That's if I had to make a choice.

$ 0.01
2 months ago

I have not invested in either coin. My husband has. But he gets alerts throughout the day and is much better at day trading than I am. He takes his profits and invests in the coins and companies he truly believes in. I don't have the money out the bandwidth to day trade. Anything. In any market. I also don't like to gamble. As @Porwest says, my husband is only in it for a quick profit. He is cashing in on the hype.

$ 0.02
2 months ago

Yeah I don't like gambling and I don't have the time for day trading either

$ 0.00
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2 months ago

I think you got everything spot on. I AM, however, invested in both Doge and Shiba, but my only intent is to make a profit directly on the hype. No one can time a market, and certainly I think figuring out crypto is way more difficult than figuring out stocks. But I do think there is a little bit of short term upside for both, and it is for that reason alone I am invested. I have my targets set to sell, and none of the money I have invested in either coin is money I cannot afford to lose.

In other words, for me it is a pure gamble, but a gamble I am willing to take.

$ 0.01
2 months ago

Yeah fair enough, as long as you know what you're getting into

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2 months ago

Awesome commentary.

$ 0.01
2 months ago

Wow classic 👌, thanks so much boss I will better learn more about this coin ,

$ 0.01
2 months ago

The media hype makes it very tempting to buy these coins. Thanks for this information. Sadly most people believe the hype plus the rising prices... even on Instagram, I have been seeing posts promoting Doge and Shiba as one of the coins that would make an investor a millionaire.

$ 0.01
2 months ago

I think for those who want to take profit I would say they can but for long term, I am not really sure about their durability... They don't even have any use case that I know of. I invested in Doge back then and when it spiked, I took out my money with no regrets and for Shiba, I've taken out my capital and I am just watching my gain grow... It won't be for long before I would wipe that one out too.

$ 0.01
2 months ago

Yeah, I mean if you can win, then win. But for most I would recommend to steer clear. Most are not very experienced traders.

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2 months ago

That's it... Most people don't understand how the market works and they get burned in the end.

$ 0.01
2 months ago

the answer is.... drum roll .... NO!

$ 0.01
2 months ago

Exactly!

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2 months ago

I bought Shiba in May, and even though it has had its ups and downs, it may be a great token in the future.

$ 0.01
2 months ago

Well there isn't going to be new development or anything so I disagree

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2 months ago

Would it be a good idea to continue investing in it, or it has absolutely no future whatsoever.

$ 0.00
2 months ago

I would say, you can continue to put money into it, but take out the word "investment." Because while I like the short term opportunity, I don't think Shiba Inu has any future use or value. So the correct word is if you want to try to make money on it, you should continue to "gamble." But also recognize when the hand you have is the best hand you will get, and stop playing as soon as you figure that out, all the while also realizing that any money you wager may more likely be lost, and you have to be willing to only wager money you are absolutely okay with losing.

In other words, don't put ANY money in it you can't afford to, or don't want to lose.

$ 0.03
2 months ago

Thank you Porwest. 😁 Exactly Gambling

$ 0.02
2 months ago

Personally, I would say no.

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2 months ago

I always thankful to every article you made, very informational and we could have the knowledge. Thank you friend!

$ 0.01
2 months ago

Thank you for this information, Scott! For now, I was not able to invest any of these coins but for sure will study this.

$ 0.01
2 months ago

I actually never bought any of these coins, but i advise holders to put only what they can afford to lose

$ 0.01
2 months ago

I don't have Doge for now since I'm newbie but thanks for the information Mr. Scott

$ 0.00
2 months ago

I bought some Doge about a year ago, the token had remained in the spot or retrogressed despite the hype in name. I will just be viewing it status to see how it goes.

$ 0.01
2 months ago

Check out my article please

$ 0.00
2 months ago

Interesting article Scottcbussiness 💯

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2 months ago

Check out my article please

$ 0.00
2 months ago