What is ShibaSwap?
What are Bone ShibaSwap (BONE) and Doge Killer (LEASH)?
Who Invented ShibaSwap?
How does ShibaSwap Work?
How to Use ShibaSwap
Is the ShibaSwap Platform safe?
What is the Difference between ShibaSwap and UniSwap and PancakeSwap?
Decentralized exchange (DEX) dubbed ShibaSwap was launched on the Ethereum network by Shiba Inu, the well-known meme currency, around the middle of the year 2021. ShibaSwap allows users to provide liquidity, exchange multiple tokens, and also obtain governance tokens (BONE).
Let’s find out more about what ShibaSwap is, how it works, the incentive reward it offers, and how to use ShibaSwap in this article.
What is ShibaSwap?
ShibaSwap is the native decentralized exchange (DEX) of the Shiba Inu Coin (SHIB), a trendy meme coin and the biggest rival of Dogecoin (DOGE).
Released in July 2021, the ShibaSwap exchange provides many of the same functions as other DEXs: token exchange, liquidity pool, with the addition of additional features such as staking, governance, and non-fungible tokens (NFTs).
In addition, ShibaSwap mainly has three tokens powering its ecosystem. The first one is Shiba Inu (SHIB) which fuels ShibaSwap, and the other two tokens are ERC-20 tokens, namely Bone ShibaSwap (BONE) and Doge Killer (LEASH).
What are Bone ShibaSwap (BONE) and Doge Killer (LEASH)?
BONE serves as the ShibaSwap ecosystem’s governance token. This token allows its holder to propose and vote on changes to the ShibaSwap protocol via “Doggy DAO.”
As of May 2022, the latest BONE’s trading price was 0.5621 USD. The token has an outstanding supply of 6,975,299 BONE, with a total token supply of 250 million coins.
Besides Bone ShibaSwap (BONE), another token in the ShibaSwap ecosystem is Doge killer (LEASH). It is deemed to be an incentivized token in the Shiba Inu (SHIB) ecosystem.
Initially, LEASH was launched as a rebase token (also known as an elastic token). Similar to stablecoins, Rebase is a kind of token that the supply is automatically adjusted through computer algorithms to keep its price pegged to other assets.
There is a 1:100 ratio between LEASH supply and the DOGE price. To put it another way, if the Dogecoin price is 0.05 USD, the LEASH supply will be adjusted to bring the LEASH price up to 50 USD (by minting new tokens or burning).
Currently, LEASH is no longer following DOGE’s price and has become a significant store of value for ShibaSwap investors. In May 2022, the price of Doge Killer (LEASH) is 843.92 USD.
Who Invented ShibaSwap?
Like Shiba Inu (SHIB), ShibaSwap’s inventor is still a mystery.
As part of this project, the Shiba Inu community has also joined forces in an effort to boost the SHIB token’s value.
In fact, Shiba Inu Coin (SHIB) is a meme cryptocurrency launched in August 2020 by an anonymous person or group so-called “Ryoshi.”
How does ShibaSwap Work?
According to the official website, ShibaSwap mainly offers six functions, in which the three native coins, namely SHIB, LEASH, and BONE, play major roles.
The following is an explanation of how each function in ShibaSwap works.
Dig
Dig (Digging) is a staking feature for the liquidity pool on the ShibaSwap platform. Dig lets users deposit crypto assets in pairs into the platform’s existing liquidity pools or create their own pool.
Liquidity providers will be compensated with ShibaSwap liquidity pool tokens (SSLP) as a reward. The tokens represent their share of liquidity in the pool, which users can redeem for BONE tokens for free.
Woof
Woof (Woofing) allows ShibaSwap’s users to exchange BONE rewards by swapping SSLP tokens.
Bury
The SHIB, LEASH, and BONE tokens can be staked in Bury to earn high interest rates paid in BONE tokens. Once staking, users will receive tokens in the proportion of tokens they staked in the form of xSHIB, xLEASH, or xBONE.
33% of BONE returns from staking are immediately available, while the remaining 66% will be locked for six months.
Swap
Swap is an exchange feature on the ShibaSwap platform, through which users can exchange one asset for several other assets.
Doggy DAO
Doggy DAO is a decentralized autonomous organization for the Shiba Inu community, which aims to enhance the development of the SHIB token.
Through this feature, community members are granted voting power and pairs on the Woof liquidity pool in the ShibaSwap platform.
NFT
In the NFT feature, users can “Shiboshis,” the NFT collection of Shiba Inu (SHIB). Shiboshis features 10,000 pieces of Shiba Inu dog cartoons similar to CryptoPunk, some of which vary in nature and rarity.
How to Use ShibaSwap
Before starting using ShibaSwap, you must set up one of three compatible crypto wallet services, including Metamask, WalletConnect, and Coinbase Wallet.
There are two things you need to do when setting up a crypto wallet.
Firstly, you have to make a copy of your secret phrase, which is also known as a seed phrase or recovery phrase.
However, Avoid storing or transmitting the secret phrase in any digital form, even as screenshots, to avoid allowing hackers to access your private data.
As an alternative, it’s best to physically write down it on paper. Create as many copies of the phrase as you can and keep each one in a different place to ensure utmost privacy and security.
Secondly, you must deposit enough ETH into your crypto wallet to cover transaction fees and convert it into SHIB, BONE, or LEASH tokens in case of participating in staking or liquidity pools on ShibaSwap.
To link your wallet, click the “Connect” icon in the top right corner of ShibaSwap’s website and then select your wallet service.
Once completed, you will be able to access the ShibaSwap service.
Is the ShibaSwap Platform safe?
According to CertiK, a blockchain-based security audit, ShibaSwap has a current security score of 93 out of 100 and resolved 97% of 34 issues raised during the platform’s extensive audit.
This score allows ShibaSwap to successfully against top (DeFi) platforms, such as Aave and Polygon, which both scored 92 out of 100.
On top of that, 96% of CertiK users say that the service offered by Shibaswap is safe. However, it should not be used as a sole criterion for determining the security of an overall system.
Before investing in any DeFi platform, prospective buyers should always conduct extensive research on the risks that each DeFi involves.
What is the Difference between ShibaSwap and UniSwap and PancakeSwap?
All ShibaSwap, PancakeSwap, and UniSwap are decentralized crypto exchanges that are free from a single or central authority.
However, all three operate in different ecosystems—ShibaSwap on Shiba Inu, PancakeSwap on Binance Smart Chain, and UniSwap on Ethereum.
According to some experts, ShibaSwap seems to provide greater profit potential, notably from two main passive income via the bury and digging features.
If you live in Australia or Indonesia, it’s your good day because you can buy SHIB on Zipmex today. Click to get started.
