ShibaSwap, a decentralized finance (DeFi) platform, offers various services such as a decentralized exchange (DEX), staking, liquidity pools, and yield farming. It was launched in July 2021 and is based on SushiSwap, which is a popular DEX that is itself a fork of Uniswap (UNI), the leading DEX in terms of volume. However, ShibaSwap’s main focus is to enhance the utility of Shiba Inu (SHIB) tokens.
ShibaSwap utilizes three primary tokens: SHIB, Doge Killer (LEASH), and Bone (BONE). SHIB is a memecoin inspired by Dogecoin and was created in August 2020 by a pseudonymous individual known as “Ryoshi.” During its initial coin offering, one quadrillion SHIB tokens were distributed, with half of them allocated to Ethereum co-founder Vitalik Buterin. Buterin donated 50 trillion SHIB to an Indian COVID-19 relief fund and sent the remaining tokens to a dead wallet. The remaining 500 trillion SHIB were locked in Uniswap, and the private keys were discarded by the owners.
Doge Killer (LEASH) was introduced as part of SHIB’s attempt to surpass Dogecoin as the top memecoin by market capitalization. Initially, LEASH had a failed 1:1000 peg to the price of DOGE. It functions as an ERC-20 token with a fixed supply of 107,647 tokens.
Bone (BONE) serves as a governance token in the ShibaSwap ecosystem. Holding BONE allows users to propose and vote on changes to the ShibaSwap protocol through the Shiba Inu Doggy DAO. The maximum supply of BONE is 250 million coins.
ShibaSwap enables users to trade ERC-20 tokens directly with each other. The most liquid tokens on the platform are the Shiba Inu ecosystem coins, with BONE and LEASH having the highest trading volumes and order book depths.
Staking, known as BURY on ShibaSwap, allows owners of SHIB, LEASH, and BONE to stake their coins in pools for a specific period and earn predetermined annual percentage yields (APY). The rewards are paid in the wrapped version of the staked tokens. Liquidity pools, known as DIG, allow users to provide liquidity to coin pairs and receive trading fee rewards. These rewards can be redeemed for BONE tokens. Yield farms, known as WOOF, enable SSLP holders to deposit tokens and earn BONE rewards. These rewards can also be redeemed partially instantly, but the remaining portion is locked for six months.
ShibaSwap also offers a burn portal, where users can voluntarily burn their SHIB tokens by sending them to a dead address. As a reward, users receive Ryoshi Token (RYOSHI), an ERC-20 token specifically created for burn rewards. Additionally, ShibaSwap allows users to mint, customize, and trade native nonfungible tokens (NFTs) called “Shiboshis,” which are digital collectibles featuring the Shiba Inu mascot. These NFTs may be used in the Shiboshi Game, a gaming project.
Please note that this article does not provide investment advice or recommendations. It is essential for readers to conduct their own research before making any investment or trading decisions.