Shiba Inu vs Dogecoin: Which is the Memecoin King? Who will emerge victorious?Shiba Inu vs Dogecoin Who will be victorious? With the success seen by Dogecoin in 2021, it was only a matter of time before a competitor (if it can be called that) would challenge DOGE to be the king of memecoins.
SHIBA INU , an ERC-20 token launched in the summer of 2020 that started making waves in 2021, following the success of Dogecoin. SHIB became a popular choice for traders who felt they had missed the boat with Dogecoin, and it certainly rewarded those who had faith. If you had invested $1,000 in SHIB at launch, you would have had $1 billion when it hit its all-time high in October 2021. Like Dogecoin, Shiba Inu have fallen quite a bit from their highs, but both can bounce back.
If you are looking to decide which memecoin may be the best option, this guide will help you compare Dogecoin vs Shiba Inu.
Dogecoin Quick OverviewDogecoin (DOGE) was started in 2013 by Jackson Palmer, a software engineer at Adobe, and Billy Markus, a software engineer at IBM.
According to Markus, it only took around 3 hours to change the original Bitcoin code to create Dogecoin. The Dogecoin network launched in December 2013 and reached an all-time high of almost 73 cents on the dollar in May 2021. It is currently trading below 10 cents a piece.
The asset uses a proof-of-work consensus mechanism like Bitcoin, with blocks mined every minute and 10k DOGE coming into circulation through each block reward. Markus and Palmer walked away from Dogecoin in 2015, while influential figures like Elon Musk stepped in to defend the memecoin.
Shiba Inu Quick OverviewSHIBA INU (SHIB) was created in August 2020 by a pseudonymous person going by the name ?Ryoshi? with the aim of being a direct competitor to the original meme coin that is Dogecoin. SHIB started with a total supply of 1 quadrillion SHIBs.
A quadrillion has 15 zeros or is 1,000 trillion in other words. Half of the supply was placed on Uniswap for liquidity pooling purposes. The other half was sent to the creator of Ethereum, Vitalik Buterin, in the hope that he would burn it. Buterin burned over 400 billion SHIB while he sold the rest and donated the proceeds to Covid relief in India.
SHIB has risen rapidly in popularity over the past year, reaching an all-time high of $0.00008845 per in October 2021. It's down over 80% since that peak, now trading at $0.00001 per SHIB.
Comparing Shiba Inu vs Dogecoin TokenomicsDOGE and SHIB are two very different assets when it comes to their tokenomics. This is for a couple of reasons. First, they run on completely different consensus mechanisms, and furthermore, Dogecoin is its own network, while Shiba Inu is an ERC-20 token built on Ethereum.
Dogecoin uses a proof-of-work consensus mechanism, just like Bitcoin, and can therefore be mined. Dogecoin block rewards occur roughly every minute, at which point 10,000 new DOGEs go into circulation. Rather, the SHIB supply is already circulating and no more SHIB will be added to the supply. However, DOGE has a current circulating supply that is one-fifth that of SHIB, meaning it is a much scarcer memecoin.
Second, DOGE transactions are quite cheap compared to SHIB. This is because there is a low transaction cost on the Dogecoin network, while SHIB uses Ethereum as its network, which means it is subject to the notoriously high gas fees that come with ETH. This also means that you must own ETH to transact with SHIB outside of an exchange, as it is the required asset to pay for gas fees. This could change if ETH 2.0 launches successfully.
Comparing Shiba Inu vs Dogecoin UtilitiesWhen it comes to utility, at least at this point, SHIB really comes out ahead. This is because SHIB is a token on a smart contract enabled blockchain on Ethereum and thus inherits all the benefits of smart contracts. In addition to being available on a variety of decentralized exchanges (DEXs), the team behind SHIB has released ShibaSwap, their own DEX. On ShibaSwap, users can stake their SHIB and earn rewards as well as being able to exchange it for any other ERC-20 token. By contrast, there are no smart contracts in Dogecoin, although rumors that they will eventually come started circulating last May without any development since then.
In terms of usage as a payment currency, Dogecoin currently leads the way between the two dogs, as transactions are much cheaper with DOGE than SHIB solely due to the ETH gas fees required to send SHIB. More and more merchants are beginning to accept DOGE as a payment method, giving it additional utility, although there are many other assets that could become the ideal crypto payment method for merchants to accept.
Shiba Inu SHIB vs Dogecoin DOGE ConclusionThe reality of the DOGE vs SHIB debate is that regardless of which is considered a better memecoin, it is still a memecoin. In this sense, the idea that any of the assets is a good investment is pure speculation, since neither brings anything particularly innovative to the cryptocurrency sector.
Rather, they are fun speculative assets that you can buy a lot for very little money, leading to a drive bias for many newcomers. While some people like the idea of buying millions of a coin for the same price as a fraction of Bitcoin, you should probably have more behind your investment strategy than getting a lot of units of something.
While we can debate which is better at the moment, it may be a debate about which was the worst long-term investment. Time will tell.
