Surely you all know about Dogecoin, this noisy digital currency and its adventures. It is unlikely that anyone in the world of digital currencies has heard of Dogecoin or heard of stories between Elon Musk and Dogecoin. But to give an overview of the Dogecoin story, we have to say that the Dogecoin is a digital currency with the symbol of the dog of the Shiba Inu breed (a Japanese breed) that was created years ago just for fun and even after a while, its developers. They abandoned it.
Some time ago, Ilan Musk, the American billionaire and CEO of Tesla, began to support this memequin. At first it was thought that these supports were no more than jokes; But gradually it became clear that the story was different. It was as if Ilan Musk really intended to turn Dogecoin from a joke into a serious currency that could challenge its fierce rivals. The price of the Dogecoin rose sharply following the support of Elon Musk, and the digital currency was ranked sixth among digital currencies in terms of market volume at the time of writing.
Read more: Elon Musk Tweets; From entertainment to market manipulation
Elon Musk’s involvement in the digital currency market, the rise in the Dogecoin price, and the promotion of its ranking among digital currencies have provoked much criticism and reactions. Many believed that the decentralized nature of the digital currency world was being called into question; But many others tried to calm the atmosphere and said that such things are possible because of the freedom of this world and should not be taken lightly.
We were getting used to the presence of Dogecoin in the list of serious and important digital currencies, when another project called Shiba Inu, abbreviated SHIB, came into the world and again created the same events, the same worries and the same frenzy. This time, many members of the digital currency community joined hands from the beginning and tried to prevent what happened to Dogecoin from happening to Shiba Ino. They believed that this process should be stopped and that not every coin or token that uses the symbol of a dog should progress without any logical reason.
Whatever the comments, Shiba Ino is now on the list of the market’s top digital currencies, and just a few weeks after the token began trading at Bainance Exchange, its market value has reached an astonishing record of $ 9 billion. Sheiba Ino (at the time of writing) is ranked 28th among digital currencies in terms of market volume and has been able to claim the title of the second most valuable meme coin (comic coin) in the market after Dogecoin. The token is now listed and traded at the American Exchange in Coin Base.
Of course, Shiba Ino was not the only digital currency that entered the digital currency market after the success of Dogecoin, with the symbol, shape and image of a dog. There were other projects such as Doge Cash, Akita Inu and Dogelon Mars; But in the meantime, Shiba Inu became more famous and successful than the others.
One of the interesting things about Shiba Ino is that the project sees itself as a competitor to Dogecoin. In fact, Shiba Ino fans have dubbed it the “Dogecoin Killer,” and its developers have welcomed it; While Dogecoin and Shiba Ino have fundamental differences with each other, and perhaps the only similarity between them can be considered their use of the symbol of Shiba Ino dog.
In this article we intend to help an essay Let’s examine the differences between these two famous and controversial memquins from the Decript site and see if Dogecoin and Shiba Ino can really be considered rivals.
The main differences between Dogecoin and Shiba Inu
Dogecoin and Shiba Inu have many big and small differences; But if we want to put the most important differences together, we come to the following three:
- Dogecoin has no supply restrictions; But this is limited.
- Dogecoin is a standalone coin or digital currency; But Shiba is an Ethereum token.
- The original purpose of Dogecoin and Sheba Ino is different.
If we look more closely at each of these differences, we find that Dogecoin and Shiba Ino are different in many ways and basically cannot be considered rivals. So in this part of the article, let’s look at each of these three in more detail.
Production and supply mechanism
As I mentioned in the previous section, Dogecoin and Shiba Ino’s “Tokenomic” or token economy is different. Dogecoin has no supply restrictions. Every minute, 10,000 Dodge Quinns are produced and supplied. This means that 15 million new Dodge Quinns are launched every day and 5 billion each year. According to many digital currency experts, this will cause inflation for Dogecoin and reduce its value exponentially. Not having a supply limit for a digital currency is not an interesting feature; But it all depends on the purpose of the project and the vision for the future.
On the other hand, we have Shiba Ino, who has a supply limit of 1 quadrillion; This means that there will be 1 quadrillion tokens of Shiba and no more than this amount will be produced. Although this supply ceiling is very high, but to some extent, it prevents inflation and devaluation of this token.
All 1 quadrillion Sheiba tokens were produced from the beginning, and half of them were donated to Vitalik Butrin, the famous founder of Ethereum. Vitalik donated the largest portion of these tokens to a charity to prevent the spread of the Corona virus in India, making it the largest donation to the charity to be made using digital currencies. He then burned the remaining amount (which was about 40% of the donated slip tokens) by sending them to an obsolete address. Thus, it can be said that the supply ceiling of 1 quadrillion Shiba has been practically halved.
Take advantage of an independent Blockchain
Dogecoin is a fork of a project called Luckycoin, which itself sprang from LightQuin. In other words, Dogecoin has an independent Blockchain, hence it can be called “Quinn”; But Shiba Inu has been performed on the Ethereum blockchain and is actually a “token”, not a coin.
These days, the difference between the words token and quin has faded, and many people use the two words interchangeably; But the truth is that the difference between the two is very important.
Read more: What is a token and how is it different from Coin?
For example, the relevance of this theorem to the subject we are discussing is that Shiba Inu is influenced by the decisions made about the Ethereum; While Dogecoin is independent and its future is in the hands of members of its community. In addition, increased demand for Shiba (or any other Ethereum token) leads to increased Ethereum network traffic and increased fees.
Of course, Ryoshi, the anonymous developer of Shiba Inu, says that he built his token on the Ethereum out of personal desire. He said he wanted his project “while not following foreign law, but against change. [و توسعههایی که اعضای جامعه اتریوم برای آن در نظر میگیرند] “Be free.” In addition, he believes that the Chinese Ethereum Block is “safe and tested” for decentralized applications.
Differences in applications and initial purposes
Dogecoin is a low-cost, high-supply digital currency, user-friendly and convenient, with no particular complexity. These features make this digital currency suitable for micropayments such as rewards and things like that. Dogecoin’s original goal was to become a means of payment, or in other words, a digital version of the same penny or one-dollar bill that you always have in your pocket. Hence, the fact that Dogecoin has no supply limit and is produced in unlimited quantities is somewhat justifiable for this currency.
But in the case of Shiba, the issue is different. Shiba’s ultimate goal is to become a decentralized exchange called ShibaSwap, which, after updating Ethereum 0.2, allows users to convert their Ethereum tokens directly, decentrally, quickly and cheaply. In addition to the Shiba token, Shibaswap also has two other tokens called LEASH and BONE. These two tokens are also used in the decentralized exchange of Shibaswap, and those who provide liquidity to this exchange will receive rewards in the form of these two tokens. Of course, the token has not yet been released in practice; But the developers claim that this token will be available soon and will raise the power of decentralized finance (DIFA) to a level.
So Dogecoin and Shiba Ino’s original goals are different. Since Shiba Inu was released after the stories of Ilan Musk and Dogecoin, and on the other hand they both used the same symbol for their project, at first it seems that these two projects are similar or rival. are; But the truth is that the only similarity between the two currencies is that they are memes and the image of Shiba Inu’s dog.
However, calling them “rivals” may be just a clever way to deceive public opinion and get more attention from both.
In this article, we examine two famous and controversial memequins these days and point out their three main differences with each other. By reading this article, you will surely realize that Dogecoin and Shiba Ino have basically no similarities and there is no connection between them. They are two separate projects, each with its own drawbacks and should be considered independently.
The truth is that the criticism leveled at Dogecoin and Sheba Inoue is not in vain. Dogecoin, which was practically just an internet joke and became serious for no particular reason and only because of the support of a number of celebrities, although Dogecoin seems to be undergoing a process of extensive development and promotion. Shiba Ino, despite her claims about her goals and future, has not presented any new innovations and will be a new version of the same decentralized exchanges that already existed. Even the developer of Shiba Inu in the project’s white paper (which he calls WHOF Paper!) Calls it “Experience In order to work in a decentralized society. In other words, from the beginning, Shiba Inu has been the only test for its developer to understand how to enter a decentralized world and how to continue to operate in this space.
However, we have to admit that both of these digital currencies have been very successful so far and both have been able to establish themselves among the top currencies in the market. It can be said that the digital currency market is the freest market in the financial world and everything must be left to the principle of supply and demand.