Shiba Inu Metaverse: Will ETH holders be the salient winners?

Saif Naqvi
Source: Pixabay

In a surprise announcement last month, Shiba Inu developers favored Ethereum in buying land in the metaverse. Unbeknownst to the developers, the decision has pitted the world’s largest altcoin against Shiba Inu, and prices of both coins could shoot up once the virtual lands become available for purchase.

Source: TradingView

Shiba Inu’s metaverse push is one of most the hotly anticipated ventures of the project this year, along with the layer 2-solution, Shibarium. A post on 30 March revealed that a total of 100,595 plots of land would be available for purchase, categorized into 4 different tiers – Diamond Teeth, Platinum Paw, Gold Tail, and Silver Fur.

However native tokens BONE and LEASH would not be used for purchases. Instead, developers decided to name a more neutral crypto, Ethereum, as a valid form of payment for the virtual land plots.

The price range costs between 0.2 Ether for land under the tier 4 category ‘Silver Fur’ to 1 Ether for tier 1 category, ‘Diamond Teeth’.

The Shiba Inu team explained that it would have to dump native tokens SHIB, LEASH, and BONE for land purchases, which was counterintuitive to its strategy. “Using our Ecosystem Tokens is a risk, as we would need to dump our own tokens price cashing them! And that’s far away from our plans.”

However, note that $LEASH will still be used in the locking process and the final bid would then be made in Ethereum.

Price Competition – ETH VS SHIB?

Source: TradingView
Source: TradingView

Both Shiba Inu and Ethereum experienced a damaging correction yesterday and weekly losses slipped to over 12% in both cases. Both tokens were trading close to strong support levels and awaited the next trigger to push higher on the chart. This condition could make a price rally more enticing once the official date is released for Shiba Inu’s land auction.

As users buy more Ethereum to make purchases during the 3-day auction event, ETH’s price could shoot north alongside Shiba Inu. The tight-knitted contest between the two tokens will go to show whether Ethereum holders would be the salient winners of Shiba Inu’s metaverse.