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Most crypto analysts would dismiss the so-called meme coins right from the start. Yet, beyond all reason, some of them exploded in popularity, especially as they were supported and promoted more or less directly by celebrities or millionaires.
Elon Musk frequently tweeted about memes and started to support the meme cryptocurrency Dogecoin. This is one of the reasons why Doge ranks in the top 10 cryptocurrencies by market cap, even if it has no actual use.
After this event, investors looked for other canine coins to invest in, and the Shiba Inu token (SHIB) cheerfully benefited from the interest.
Additionally, it caught the public interest also because it uses the proof-of-stake consensus mechanism, crypto staking being a direct way of earning rewards from hodling your crypto for a specific timeframe to sustain the blockchain operation.
So, in this article, we are going to show you how to stake Shiba Inu, this doggy-themed cryptocurrency that is getting more and more interest from the public.
What is Shiba Inu (SHIB)?
Shiba Inu (SHIB) is an ERC-20 token that features the Shiba Inu—a Japanese species of hunting dog—as its face. As an ERC-20 token, SHIB is built on top of the Ethereum Blockchain, following the network’s standards for tokens.
The token was created by an anonymous individual or group of individuals who go by the name “Ryoshi.”
Shiba Inu (SHIB) has rapidly gained traction and much attention since its launch in August 2020. As a decentralized meme token inspired by the popular internet meme of the Shiba Inu dog, it glimpsed its first surge alongside Dogecoin (DOGE) in 2021, when the WallStreetBets subreddit subsisted fresh vigor into meme coins. But its success was also due to Shiba Inu’s catchy branding and community-focused marketing campaigns.
The SHIB community is also known for its philanthropic efforts, including donating large sums of money to various charitable organizations and causes.
One of the unique features of SHIB is its supply. The creators of SHIB initially minted one quadrillion tokens, with half of those tokens (500 trillion) being locked away in a decentralized finance (DeFi) liquidity pool called the “ShibaSwap.” The other half of the tokens were airdropped to the community, giving them away for free to individuals who held other cryptocurrencies like Bitcoin or Ethereum. The creators of SHIB also burned 50% of the total supply.
Like other cryptocurrencies, the value of SHIB is determined by supply and demand on various cryptocurrency exchanges. However, SHIB’s value is known for its volatility, and its price can fluctuate wildly in short periods. For instance, a tweet dated February 15, 2023, soared the price of Dogecoin and Shiba Inu. It was in which Elon Musk introduced “Twitter’s new CEO,” a Shiba Inu dog.
SHIB Staking Pros and Cons
Let’s take a closer look at some of the pros and cons of staking SHIB tokens:
Pros of Staking SHIB Tokens:
- Earn Passive Income;
- Support Network Security;
- Less Risky Than Traditional Trading;
- No Need for Any Specialized Equipment;
- Potential for Capital Gains.
Cons of Staking SHIB Tokens:
- High Volatility;
- No Guaranteed Returns;
- Some platforms have lockup periods, implying you won’t have access to your crypto for a specific timeframe.
How to Stake Shiba Inu
To make you understand the process as well as possible, we will show you how to stake SHIB tokens both on the Binance platform and directly in ShibaSwap.
How to Stake Shiba Inu on Binance
Binance added Shibu Inu staking to their platform, which means you can earn rewards by locking up your SHIB tokens for a timeframe. The longer you lock them up, the more rewards you can earn. Currently, you can agree to lock your tokens for either 60, 90, or 120 days.
To stake SHIB tokens on Binance, you need a verified account and at least 800 SHIB tokens (about $0.010448 at the time of writing). You’ll get rewards in SHIB tokens every day.
Binance currently offers the highest rewards for staking Shibu Inu.
Here are the steps to stake your Shiba Inu tokens on Binance:
Step 1. Log In to Your Binance Account
To log in to your Binance account, you have two options: use the mobile app or the website. Both methods work fine, but using the website can be more convenient when staking. You can easily scan the QR code from the mobile app on the website for a quick log-in or follow the classic procedure of entering your email, password, and confirmation via 2FA, and you’ll be logged in right away.
Step 2. Click On Wallet and Select Fiat & Spot
To access your wallet on Binance, look for the “Wallet” option on the top menu bar and hover your cursor over it. A drop-down menu will appear with several options. Select “Fiat and Spot” from the list, and you’ll be directed to the “Fiat and Spot” page.
Step 3. Click On the “Earn” button and choose “Locked.”
Look for the “Action” column and click “Earn” for Shiba Inu, and then “Locked.” Remember that you must have Shiba Inu in your Binance wallet to proceed.
Step 4. Press the “Subscribe” Button, fill in the Required Fields According to Your Preferences, and Confirm Your Transaction
Locked staking involves holding your coins for a set duration of time, such as 60, 90, or 120 days. After this time, the number of coins you staked is returned to your wallet, and you earn interest. The longer you lock your coins, the higher your estimated total interest will be.
Once you click on subscribe, you have a complete transaction summary, depending on the number of coins you are locking up. In this newly opened window, you need to enter the duration for which you want to lock your SHIB and the amount, then read and accept the Binance Simple Earn Service Agreement and confirm the transaction.
That’s it! Now, if you access the “Earn” section again, you’ll see your SHIB locked.
How to Stake Shiba Inu on ShibaSwap
Step 1. Connect Your Wallet on ShibaSwap.com
To get started, log in to ShibaSwap.com, and in the top right-hand bar, you’ll find a “Connect” button. Press it and connect your wallet. Be careful; it must be a wallet from the Ethereum network. To show you more clearly how to stake Shiba Inu on ShibaSwap.com, we are going to use MetaMask.
If you don’t already have it, download it, create your own wallet, and come back to ShibaSwap for login.
Step 2. Click On Bury
After connecting your wallet, navigate to the “Bury” section (as in the first image above) and click on “Stake Tokens.”
This will direct you to the Bury page, where you’ll see three options (like in the second image above): Bury Shib, Bury Leash, and Bury Bone.
When you click the “Bury Shib” button on the platform, you’ll see a list of the tokens you own and their current value in US dollars in your wallet. Remember, the total value of your holdings is only revealed after the buying process is finished. To earn Shiba Inu, you need to bury your Shiba coins, so choose “Bury Shib” to get started.
Don’t forget that it’s mandatory to hold SHIB tokens in your portfolio to be able to stake.
Step 3. Fill In the Required Fields According to Your Preferences, and Approve Your Transaction
There are four options for staking your Shiba Coins – 25%, 50%, 75%, or 100%. After choosing your preferred amount, click the “approve” button, and confirm the gas fees displayed in your wallet. Keep in mind that gas fees can fluctuate, so it’s wise to wait until they are lower to save costs. The first “approve” transaction only incurs gas fees, and your Shiba Coins stay in your wallet. For the actual staking process, you’ll need to pay the gas fees again, and this time your coins will be buried and staked. The staking process can take a few minutes, but once it’s complete, ShibaSwap will display your buried coins at the top of the page.
FAQ:
Can You Stake Shiba Inu (SHIB)?
The answer is yes if you’re wondering whether you can stake Shiba Inu (SHIB) tokens. Since Shiba Inu is built on the Ethereum network, you can stake your SHIB tokens using a staking pool or a supported wallet.
Why Should You Stake Shiba Inu (SHIB)?
Staking your SHIB tokens is a way to help maintain the security and governance of the Shiba Inu network. When you stake your tokens, you contribute to the verification and validation of SHIB transactions, and in return, you receive newly minted tokens as a reward.
How Much Do You Earn Staking Shiba Inu (SHIB)?
Based on data from February 22, 2022, you can earn different amounts using Binance or ShibaSwap because of the maximum annualized yields for staking Shiba Inu (SHIB) coin. Binance offers the highest at 0.67%, while ShibaSwap offers 0.21%. The passive income you can earn from staking SHIB depends on your chosen platform and the number of tokens you stake.
Where is The Best Place to Stake Shiba Inu (SHIB)?
At the time of writing, the best place to stake SHIB tokens is Binance Exchange, followed by ShibaSwap.
How to Stake Shiba Inu (SHIB) – Conclusion
Since its launch, Shiba Inu has proven to be one of the best-performing meme coins. Let’s not forget he’s been called “the Dogecoin Killer.” That being said, if you do choose to invest in crypto, Shiba Inu staking is an excellent way to earn interest on your investment and establish a sustainable passive income stream.
Besides, earning passive income through staking Shiba Inu tokens has become easier with the introduction of the Shiba Inu decentralized platform, ShibaSwap. However, if you prefer a centralized platform, Binance is another option.
We hope this article has been informative and valuable as you begin your expedition with the Shiba Inu token.
