Over the past few years, numerous cryptocurrencies have emerged, each asserting its distinct characteristics and aiming to address the limitations of existing assets. Shiba Inu [SHIB], following in the footsteps of the original meme cryptocurrency Dogecoin [DOGE], entered the scene. Despite being relatively new, Shiba Inu, a dog-themed crypto, has managed to achieve a comparable level of popularity to DOGE.
Although both cryptocurrencies were initially created with a humorous intent, they possess notable distinctions from each other.
Here are the key differences between Shiba Inu & Dogecoin
Date of creation – Dogecoin was the first meme coin to enter the world and was created back in 2013. Shiba Inu is quite novel in comparison. The asset was rolled out in 2020.
Blockchain – Shiba Inu operates on the Ethereum blockchain, utilizing its infrastructure and smart contract capabilities. Therefore, it follows the proof-of-stake [PoS] algorithm. On the contrary, Dogecoin operates on its own independent blockchain, separate from the Ethereum network. DOGE employs the proof-of-work [PoW] like Bitcoin [BTC].
Supply – As of now, DOGE has a circulating supply of approximately 139.47 billion coins. In contrast, SHIB has a significantly larger circulating supply, amounting to around 589 trillion coins.
Use Cases and Utility – Dogecoin has gained some utility as a means of online tipping and small transactions. However, it has limited smart contract capabilities. Shiba Inu intends to roll out various tokens and features, including decentralized exchanges, staking mechanisms, and NFTs.
Burns – The Shiba Inu community actively participates in high-magnitude burns to reduce the overall supply of the meme coin. This burning process is a deliberate effort to decrease the circulating supply. In contrast, Dogecoin continues to mint new tokens over time. This distinction in token supply dynamics contributes to the differing inflationary or deflationary natures of SHIB and DOGE..
Market cap and ranking – Dogecoin currently resides in the top ten with a market cap of $9.92 billion. SHIB is the 15th largest crypto with a market cap of $5.10 billion.
Community – SHIB has emerged as a community-driven project, with a significant following on its official Twitter handle, which currently boasts 3.7 million followers. Similarly, Dogecoin also maintains a substantial following, with 3.8 million followers on its Twitter account. These counts reflect the strong support and engagement from the communities surrounding both assets.