For a person entering ShibaSwap for the first time, it can be difficult to get a grasp of all the dog-related terminology built into this crypto brand. As confusing as it may be at first, ShibaSwap’s services are more or less the same as those of many other decentralized applications. Here’s a complete breakdown of how ShibaSwap works.
ShibaSwap is a decentralized platform tied to the popular meme token shiba inu. It has rolled out several features for participants of the network, including non-fungible tokens, staking, exchanging, liquidity pools and voting on governance initiatives. Some of these aspects can earn token holders crypto-related rewards.
What Is ShibaSwap?
ShibaSwap is an extension of the Shiba Token ecosystem. It is a decentralized platform where users can earn rewards, track their portfolios and get access to any associated launches of NFT projects.
The shiba inu coin (SHIB) emerged as a competitor to the more popular dogecoin, a dog-themed meme coin that rose to prominence when Elon Musk started tweeting about it in 2019. Its popularity grew over the pandemic as interest in cryptocurrency exploded. Currently, SHIB is the most popular non-stable coin for newly funded wallets.
ShibaSwap differs from centralized trading platforms like Binance in several key ways. Site users can buy and sell cryptocurrency directly to each other. The website doesn’t require the use of a middleman. Since its inception in 2021, ShibaSwap has grown to encompass multiple functions. Users can stake their cryptocurrency and engage in liquidity pools.
How ShibaSwap Works
Understanding the ShibaSwap rewards system requires some specialized terminology. Here’s a list that breaks down each term and what it means.
- Dig: This is the term used for providing liquidity to the Shiba ecosystem. In exchange for providing liquidity, users earn rewards in BONE. To claim those rewards, users have to toggle over to the “Woof” section.
- Woof: “Woof” or “Woofed” refers to claiming rewards. To start earning Dig returns, users must deposit ShibaSwap liquidity provider tokens into the correct allocated pair box. After this, users will start earning straight away. If this step is not completed, users will not earn any rewards for providing liquidity.
- Bury: This is the process of staking crypto on ShibaSwap. Longer staking periods result in better rewards overall. In return for staking tokens, the staker receives xSHIB, xLEASH or xBONE, representative tokens of each individual’s share in a staking pool. One-third of the staking reward is claimable on a weekly basis, while the remainder will be unlocked after a six-month period.
What Coins Earn Rewards on ShibaSwap?
There are three core tokens associated with earning rewards on the ShibaSwap exchange:
- Shiba inu (SHIB)
- Doge killer (LEASH)
- Bone (BONE)
Shiba Inu (SHIB) on ShibaSwap
Shiba inu is the foundational cryptocurrency of the Shiba ecosystem and began its life as a meme token. Although the utility and actual value of SHIB is up for debate, in contrast to the majority of cryptocurrencies, SHIB has actually seen real-world adoption for payments. Over 40,000 merchants now accept SHIB, including giants such as Whole Foods and Nordstrom.
SHIB can be staked and exchanged for other tokens on the ShibaSwap app.
Doge Killer (LEASH) on ShibaSwap
LEASH was once used as a rebase token — a token that adjusts its total circulation relative to price fluctuations. However, it has since changed. Now, its total supply has been limited to 107,646 tokens with the promise of exciting rewards in the future. Right now, though, it demonstrates little utility other than its scarcity.
Similar to SHIB, LEASH can earn users rewards through staking and can be swapped for other cryptos on the ShibaSwap app.
Bone ShibaSwap (BONE) on ShibaSwap
BONE is the native governance token of the Shiba network. It can be used for liquidity staking to earn rewards. Holders of BONE also get to voice their opinions on the future direction of the platform by voting on proposals using BONE tokens.
What Coins Are Listed on ShibaSwap?
In addition to SHIB, LEASH and BONE, users can swap between hundreds of other tokens on the platform. Here are some of the most popular tokens that can be exchanged:
- Ethereum (ETH)
- Wrapped ETH (WETH)
- Wrapped bitcoin (WBTC)
- Tether (USDT)
- USD coin (USDC)
- Polygon (MATIC)
- Dai stablecoin (DAI)
However, only the Shiba-related tokens qualify for rewards.
How To Use ShibaSwap
New users will need to connect a wallet to the ShibaSwap app to use its features. Three crypto wallets are currently compatible:
- Coinbase Wallet
Here’s the step-by-step process for connecting a wallet.
Connecting a Wallet to ShibaSwap
Is ShibaSwap Trustworthy?
ShibaSwap is audited by the blockchain security company CertiK. CertiK has given ShibaSwap a 95/100 or excellent Skynet Trust Score, based on its performance, security and social sentiment.
ShibaSwap takes a little bit of time for new users to wrap their heads around, but all in all, it operates most of the same incentive programs used by other ecosystems. For SHIB believers, it can be an interesting way to earn a return on crypto assets.
That said, there have been some notable drawbacks in the crypto industry recently, particularly on decentralized platforms. Anyone using dApps should be wary of possible repercussions when putting any money at risk.
FAQHere are some common questions people ask about ShibaSwap.
- What can you do with shiba inu on ShibaSwap?
- ShibaSwap lets you buy, sell and stake shiba inu tokens.
- Is ShibaSwap real?
- ShibaSwap is a real decentralized platform that provides interest-earning protocols, rewards for providing liquidity and a place to swap tokens and browse NFTs.
- How much is ShibaSwap worth?
- Bone ShibaSwap, more commonly referred to as BONE, is worth about $1.08 as of March 27, 2023.
Talon Abernathy contributed to the reporting for this article.
Information is accurate as of March 27, 2023.
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