Shiba Inu on Binance Chain: all details

SHIB BEP20 is a variant of the Shiba Inu cryptocurrency available on the Binance Smart Chain. It’s a blockchain maintained by the Binance Company, launched in 2020. The Shiba coin was also launched around this time, but it was originally created for Ethereum.

Later it was also moved to Binance Chain for a variety of reasons. The two blockchains are pretty compatible, which means you can maintain a complex operation across these two networks with this asset, if you wish to. It is a memecoin, so building a business isn’t really the first thing you think of, but it’s possible.

What are memecoins?

Memecoins aren’t any different from regular cryptocurrencies in any technical aspects. Their whole difference stems from their purpose — to mock something and be as unserious as possible. They are usually tied to some meme. In this case, it’s the Doge, the same meme that Dogecoin is inspired by.

Shiba Inu, like Dogecoin and other joke coins, can be defined in several statements:

• The coin has no vision or particular goal, unlike regular currencies like Ether (support of smart contracts and further decentralization) or TRON (creation of a decentralized entertainment system).
• The coin’s value is derived from the enthusiasm of its users and extremely arbitrary events.
• The coin has a high potential for price speculation, owing to its increased volatility and instability.
• The project never has any serious application, and developer comments are often satirical and comic.
• The coin has a very strong, dedicated community.

The whole idea is that the community may or may not support the coin for some reason, and that’s where all of its value comes from. It’s not backed up by some technology, research, or principle. It just exists to mock something, and a lot of people like this approach enough to invest in SHIB.

About SHIB BEP20

There are two main standards of SHIB: ERC20 and BEP20.

It means that it’s present on Ethereum and Bitcoin Smart Chain as a native token, which leads to its free, seamless use as an inner currency within these systems. It can be used to fuel smart contracts, use applications, pay for goods and services, and do whatever else that the native tokens on these platforms also do.

BEP20 is the common standard for all tokens native to Binance Smart Chain. It puts it on the same level as BNB, the chain’s original token that’s most widely used as a technical asset on this network. So, there’s very little practical difference between BNB and SHIB, at least for development and shopping on BSC.

SHIB was originally created for Ethereum as a way of ‘killing Dogecoin,’ which is essentially identical to it. The reasoning was that SHIB would be open for use in smart contracts, which is a boost in itself. However, it was later ported to Binance. There’s a lot of complexity in this new relationship.

SHIB on Binance Chain

Binance Smart Chain was created in 2020 as a way to improve upon what Ethereum has already built. The latter was introduced back in 2014 to address the shortcomings Bitcoin experiences, which were insufficient processing time, structural simplicity, and decreased scalability.

Binance went even further with these issues. It has even faster processing speeds compared to Ethereum, fewer fees, larger throughput, increased scalability, and even portability. It also uses smart contracts and operates in a similar way to Ethereum, except better.

What it means is that Ethereum and Binance networks are very comparable. They are compatible, even. It means that, in addition to the inherent interoperability offered by Binance, you can also move assets from one blockchain to the other without much effort. That creates opportunity.

Basically, owning SHIB allows you to create vast interchain projects that involve Ethereum and Binance. This project can be anything: a decentralized application, decentralized finance provider, online store, your own crypto project, and so forth. You can use the advantages of both blockchains and not have to choose just one.

SHIB use cases

Binance Smart Chain is a popular network that houses countless projects in finance, entertainment, commerce, science, and more. The good thing is that you can potentially use SHIB with all of them, if they choose to accept the currency. It means that you can do the following with SHIB:

• Use it to fuel smart contracts in any capacity;
• Pay for goods and services in BSC-based stores;
• Use DeFi tools with this coin;
• Use it on decentralized apps (dApps);
• Use it as an inner payment tool on decentralized exchanges (DEX);
• Use it for trading and investments;
• Use it in development and to create your own projects.

It probably doesn’t strike you as a good technical tool simply because its value can be all over the place thanks to its increased volatility. It makes it a good target for trading and investing, but probably an inferior development instrument compared to USDC or even BNB.

You can still use it. Sometimes you can’t really choose the asset you’ve stumbled upon. Maybe you truly like memecoins and their potential for exponential ungrounded growth, but want to do more with it than just gain profit. In this case, you can do all of the aforementioned stuff and more.

Future of SHIB

Memecoins are truly unpredictable, but there aren’t many of them that are relevant. Since SHIB already became relevant enough, its future is probably going to be tied to the overall trend in the crypto market. If other cryptocurrencies fall or grow, so will SHIB. It’s not likely it will become irrelevant, unless developers do something really unpleasant.

It’s probably going to follow Dogecoin in its steps. It means that it’s going to be stable enough in its price for a long time with occasional bouts of unexplainable growth which other currencies simply don’t have. Its price has already been influenced multiple times by nothing more than statements of well-known people.