The layer-2 protocol of the Shiba Inu [SHIB] network, known as Shibarium, was recently introduced. Although its launch sparked debates, the network has been progressively gaining traction in terms of usage. Data sourced from DeFi Llama reveals that the network has already secured a combined amount of $1.42 million in locked assets.
It’s noteworthy that the Shibarium network currently accommodates only eight projects. These entities consist of DogSwap, MARSWAP, WoofSwap, Woof Finance, Shibex, LeetSwap, BoneDex, and ChocoInu. While most of these projects are decentralized exchanges or DEX, ChocoInu is not. Additionally, most of these projects offer additional functionalities, including staking, yield farming, and liquidity mining.
Here’s how to select a project on Shibarium
With the rise of the Shibarium network, there might be numerous deceitful projects poised to exploit inexperienced investors. Hence, the careful choice of a project is crucial. Lucie, a member of the Shiba Inu community addresses the same in her recent tweet.
- Look into the Team: The individuals steering the project significantly influence its success. Delve into the team’s expertise, experience, and standing in the crypto domain. A team with a validated track record instills confidence in the project’s execution.
- Assessing Technological Backbone: A project’s technological foundation underpins its functionality. Evaluate the technology employed, with emphasis on scalability and security aspects.
- Understanding Its Utility: Contemplate the project’s contributions to the Shiba Inu ecosystem. Gauge its real-world applications and how it enhances the broader cryptocurrency panorama.
- Active Community Involvement: A spirited and engaged community often mirrors a project’s credibility. Seek a lively online community where stakeholders discuss progress, query, and exchange insights.
- Embracing Transparency: Transparency is a hallmark of dependable projects. Ensure the project openly communicates development advances, obstacles, and potential risks.
- Partnerships: Constructive collaborations with established ventures validate a project’s trustworthiness. Partnerships signify industry recognition and respect.
- Tokenomics Comprehension: Attain clarity on the project’s token function within its ecosystem. Comprehend the potential impact on project growth.
- Reviewing the Route-Ahead: A detailed roadmap sketches project milestones and future plans. It underscores the project’s vision and dedication to realizing its ambitions.
- Security Takes Precedence: Security is non-negotiable in the crypto realm. Confirm whether the project’s smart contracts have undergone security audits.
- Appraising Risks: Contemplate potential project-related risks, encompassing market volatility and regulatory complexities. A pragmatic risk assessment informs well-informed choices.
- Due Diligence: Within the cryptocurrency domain, due diligence stands as your paramount defense against fraud and disillusionment.