At this point it is safe to say almost everyone crypto investors has heard of the Shiba Inu token. At this point it is known for its massive gains and does not look like it’s quieting down anytime soon. ShibaSwap is a native decentralised finance (DeFi) platform featuring a decentralised exchange (DEX) of the Shiba Inu coin. ShibaSwap project was launched with the ambition for it to be more than just a meme altcoin.
The ShibaSwap project was launched in July 2021, and designed to be easy to use while offering a wide range of features to satisfy even the most demanding traders. This platform allows its users to task their assets with a variety of different functions in order to earn income. ShibaSwap consists of three tokens that work in synergy to create a liquid, profitable and secure ecosystem without a single or central authority. If you want to see the true potential of ShibaSwap here is everything you need to know about the sibling tokens in detail. The primary tokens are Shiba Inu (SHIB), Doge Killer (LEASH) and Bone (BONE).
ShibaSwap primary tokens
Shiba Inu (SHIB)
SHIB is the heart of the exchange which is a Dogecoin-inspired memecoin created in August 2020, by a founder using the pseudonymous Ryoshi. The mascot of Shiba Inu is SHIB which runs on the Ethereum blockchain, providing maximum safety and functionality to its users.
According to reports SHIB has approximately 549 billion coins in circulation. SHIB started with nearly one quadrillion authorised coins, and then in May 2021 40% of the coins were burned by the co-founder of Ethereum Vitalik Buterin.
Doge Killer (LEASH)
As the name says it Doge killer (LEASH) is an incentivised token in the ecosystem, initially planned to overtake Dogecoin the most popular puppy-themed cryptocurrency. LEASH is a rebase token which is similar to stablecoin with prices controlled by an algorithm which keeps their price pegged to other assets. This algorithm ensures that LEASH prices are always larger than Dogecoin at any given time and since it has been de-pegged from DOGE it is now more of a store of value all because of very limited total supply.
Bone (BONE)
Bone serves as the governance aspect of the ShibaSwap ecosystem. Enabling users to propose and vote on changes to the ShibaSwap protocol through the Shiba Inu Doggy DAO. It is said that everybody who owns a governance token holds voting power on future decisions. Bone is considered as the democratic way to operate a network which allows its users to vote on initiative.
Trading rewards in ShibaSwap
LEASH and Bone have the highest trading volumes and order book depths. In the ShibaSwap ecosystem there are four ways to earn rewards: Dig, Woof, Bury, and Burn Portal. Traders can simply just hold SHIB or LEASH until their values appreciate but in doing so they are sacrificing the full potential of these assets. Here is a detailed explanation of how each reward functions.
Dig
When traders dig they are doing a great service to the platform by providing the platform with the liquidity necessary to fuel each and every transaction on the exchange. ShibaSwap is earned through a liquidity pool. When you dig SHIB, Leash and Bone you receive your token back as a ShibaSwap Liquidity Protocol (SSLP) version of the asset. Every user who locked their SHIBA tokens in the Dig pool receives free BONE tokens and the rewards percentage depends on how many SHIB tokens one locked in the pool. The user can redeem their Bone tokens when they want.
Woof
Woof is also called a yield farm pool which allows users to exchange their BONE rewards with each other by swapping their SSLP tokens. Users are only allowed to redeem one third of the rewards instantly but need to lock the rest for six months.
Bury
Users can stake their three coins into ShibaSwap pools for a specific time frame to earn high-interest rates. Pools distribute rewards weekly but users are allowed to claim one-third of the amount while the remaining sum will be locked for six months. Users receive representative tokens that the users have staked; it can either be xSHIB, xLEASH or tBONE.
Burn
ShibaSwap allows its users to voluntarily burn their SHIB holdings, in simple terms burn means to permanently remove them from circulation by sending them to a wallet they can never be retrieved from. ShibaSwap has introduced a new burning mechanism that rewards its users who burn the protocol’s native SHIB token allowing users to dispatch SHIB tokens to a dead wallet address and in exchange and then finally ShibaSwap sends RYOSHI tokens to them.
The ShibaSwap exchange allows users to exchange or swap tokens for other tokens, users can also exchange a single asset for multiple other assets, – depending on the value it holds. Doggy DAO is the governance system that runs the whole ShibaSwap ecosystem. The decentralised autonomous organisation (DAO) grants users a stake in the Woof liquidity pool, as well as the right to vote on certain issues.
About NFTs
ShibaSwap offers its own non-fungible tokens (NFTs) called Shiboshis, where minting, customisation and trading are enabled in the ShibaSwap. These NFTs are probably going to be part of the gaming project called the Shiboshi Game which will feature roughly 10,000 pieces of the Shiba Inu mascot cartoons. Shiboshi holders can customise their Shibashis to add value to the NFT while giving the game certain unique properties.
ShibaSwap Analytics or what others may call Bonefolio is an analytics page where historical staking data, trading data and ROI information can be found. This is where burn and mint amounts are found together with transaction fees. Bonefolio also has a portfolio tracker where users can easily keep track of their yield rewards.
How to use ShibaSwap?
Before going into details users need to know that ShibaSwap has three compatible crypto wallet services offered by the platform experts at Bitcoineer mentioned Metamask, Coinbase Wallet and WalletConnect. When setting up a crypto wallet users need to be aware of their private key and the deposit. The private key allows users to access their account and if lost users lose access to their account and all the tokens in it. Every transactional deposit made on the Ethereum network is measured in Gwei. The moment that a user is done setting up a wallet and depositing some ETH, they can convert it into SHIB, BONE or LEASH tokens. This can be done by using the Swap feature on the ShibaSwap website.
ShibaSwap is not subject to the same regulations as centralised exchanges (CEXs) as it is a decentralised exchange (DEX) hence making them more secure as they are not as susceptible to hacks. It is advisable to do your own research in order to make informed decisions about whether or not a platform is right for you or not. This article is for informative purposes and should not be used as legal or investment advice.