Crypto Legal Network Logo

How Staking Shiba Inu (SHIB) Works?


What’s the Deal with Shiba Inu?

So there’s this thing called Shiba Inu and according to its official website it’s a “Decentralized Meme Token that Evolved Into a Vibrant Ecosystem.” Fancy right? It was launched back in August 2020 by someone mysterious called Ryoshi and it’s named after those adorable Japanese doggies the Shiba Inus . You know the same breed that’s the face of the original meme token Dogecoin . Anyway Shiba Inu is the name of the network , and it has its own token called SHIB . When the SHIB tokens were unleashed there were a whopping one quadrillion of them . Ryoshi decided to lock away half of the tokens in Uniswap to keep things liquid while the other half was sent to Ethereum’s founder Vitalik Buterin who decided to burn a whopping 90 percent of them worth a mind boggling USD 6.7 billion . The remaining 10 percent was donated to a charity working on Covid 19 relief in India . Generous move Vitalik .

Now these SHIB tokens are built on the Ethereum blockchain and are known as ERC 20 tokens . Basically they use fancy smart contracts to do their thing . But here’s the fun part : the Shiba Inu ecosystem also has a couple of other tokens floating around . There’s BONE which is the governance token of the ecosystem . It’s used by the Shib Army to vote and participate in the Doggy DAO’s governance . And then we have LEASH which was originally meant to be pegged to the price of Dogecoin (DOGE) but they decided to let it run free and reach its full potential . 

how staking shiba inu (shib) works? 4

Why Shiba Inu Is a Big Deal

Alright so it’s only been a couple of years since Shiba Inu tokens and its whole ecosystem came to be but they’ve already gathered a massive following . We’re talking about the Shib Army a community of millions of members from all around the world . These folks have turned a meme token into something much bigger a vast ecosystem with its own DeFi staking platforms , NFT marketplace , decentralized exchange and more . And you know what? It’s this dedicated community that’s made Shiba Inu one of the top 20 cryptocurrencies out there . Impressive right? At the time of writing this article one SHIB was worth around USD 0.00001309 with a market cap of USD 7.7 billion and a 24 hour trading volume of USD 433.6 million . If you’re interested in keeping an eye on Shiba Inu’s price just head over to the Shiba Inu Price page on CoinStats.

Getting Into Staking Shiba Inu

Now let’s talk about staking those Shiba Inu coins . Here’s the deal : since all the SHIB tokens were minted on launch you can’t exactly mine them . But fear not my friend . You can stake your tokens and earn some sweet rewards . This process is called burying . When you stake your Shiba Inu coins you provide liquidity to the pool and become a validator . In return you’ll be rewarded with xBONE , xSHIB and xLEASH tokens depending on how many Shiba coins you’ve staked . It’s like being part of an exclusive club .

Now Shiba Inu has quite the active community which means you can trade it on most major cryptocurrency exchanges . And guess what many of these exchanges also support staking Shiba coins . Take Binance and for example . They’re two of the big boys in the centralized exchange world and they allow users to buy and stake Shiba Inu coins . Plus you’ll find various interest payout options like daily , weekly or monthly rewards . But hey if you’re more into the decentralized stuff you can stake Shiba Inu coins on decentralized exchanges using wallets like Metamask . Shiba Inu even has its own decentralized exchange called ShibaSwap . They really do have it all .

Easy Peasy Staking on Binance

Let’s say you want to stake your Shiba Inu on Binance the world’s largest centralized exchange . Good news it’s super easy . Binance offers both flexible and locked staking options . With flexible staking you can withdraw your staked SHIB tokens whenever you want . But with locked staking well you’ll have to say goodbye to your tokens for a specific period . No takebacks my friend .

To get started you’ll need to buy some SHIB tokens on Binance . Creating an account is a breeze just use your phone number and email address complete the KYC process and set up two factor authentication for extra security . Once that’s sorted buying Shiba Inu is a piece of cake . You can even use fiat currencies like USD to make your purchase . Need a step by step guide? Don’t worry we’ve got you covered . Check out our handy guide on how to buy Shiba Inu.

Binance offers different staking plans ranging from 10 to 120 days . You can choose the duration that suits you best . The Annual Percentage Rate (APR) for staking Shiba Inu varies too . It can go as low as 0.50 percent for flexible savings and as high as 12.09 percent for staking your Shiba Inu for 120 days . Take your pick my friend . Just remember that these staking plans are first come first served . So be quick if you don’t want to miss out on the action.

Why Staking Shiba Inu Is Awesome

Alright let’s sum up why staking SHIB is a pretty nifty idea :

• If you’ve got a decent stash of SHIB tokens you can earn a passive income without risking it all in trading.

• Proof of Stake (PoS) is becoming a big thing in the blockchain world as Ethereum makes its move . So staking your SHIB tokens means you’re part of this revolution.

• By providing liquidity to the Shiba Swap DEX you’re doing your part in keeping the ecosystem thriving.

• The more SHIB tokens are staked for the long haul the higher the total value locked . And that my friend helps drive up the price of SHIB tokens . Cha ching .

To Wrap It Up

Shiba Inu has definitely made a name for itself in the crypto world since its launch . It’s even outperformed some of the big boys in the industry . But remember cryptocurrencies are a wild and unregulated bunch . So I can’t stress this enough : don’t take anything in this article as financial advice . Only invest in cryptocurrencies what you’re willing to lose . However if you do decide to dip your toes in the crypto world staking can be a fantastic way to earn interest on your investment and create a sustainable passive income stream . So go ahead unleash your inner Shib Army and stake those Shiba Inu coins .

Read Previous

XRP Staking : How To Earn Ripple

Read Next

Helpful Tips To Trade Crypto Without Risking Your Money

Leave a Reply

Your email address will not be published. Required fields are marked *