Shiba Inu was a prolific millionaire-maker a few years ago, and investors might be hoping for a return to its glory days.
Shiba Inu(SHIB 1.93%) opened in 2021 at a price of $0.0000000000773 per token. By the end of that year, it reached $0.000035, which was a mind-boggling gain of 45,278,000%.
That would have been enough to turn a perfectly timed investment of $1,000 into $452 million. However, it's unlikely that investors could have bought $1,000 worth of Shiba Inu tokens at the opening price in 2021, because trading volume was extremely thin. With that said, an investment of just $3 would have made you a millionaire!
Shiba Inu has since plunged 73% from its all-time high. It has recovered some ground recently as sentiment improves across the crypto landscape, but could $1,000 invested today eventually make you a millionaire?
The Shiba Inu community is trying to unlock more value
The primary challenge for Shiba Inu (and most cryptocurrencies, including Bitcoin) is that it has failed to find a use case beyond serving as a vehicle for speculation. In order for a currency to maintain its value, consumers and businesses need to have faith in it as a means for transacting, otherwise there is no point in owning it.
Unfortunately, a currency that surges in value by millions of percentage points only to lose most of that value would make cash flow management a nightmare for any business. Therefore, it's no surprise that only 940 merchants around the world accept Shiba Inu tokens as payment for goods and services (according to Cryptwerk).
However, developers are trying to unlock more value for token holders. They launched Shibarium last year, a Layer 2 blockchain solution designed to speed up transactions and reduce costs. This solves for some of the inefficiencies in the legacy Ethereum network upon which Shiba Inu was built. Theoretically, it should make the tokens more attractive as a means of transacting in digital goods like non-fungible tokens (NFTs).
Developers also created a digital, app-based card game called Shiba Eternity in 2022 to attract people to the Shiba Inu ecosystem, and they continue to work on a metaverse in which tokens will have some real utility. However, progress appears to have stalled in the virtual world, as it failed to open last year as expected.
Image source: Getty Images.
Turning $1,000 into $1 million might be a challenge
Investing $1,000 in Shiba Inu at the current price of $0.0000242 would net you 41.3 million tokens. Simple math suggests those tokens would have to trade at $0.024 each for your position to be worth $1 million. In other words, Shiba Inu would have to deliver a gain of 99,900% from here.
Is that realistic? Based on Shiba Inu's current price and its circulating supply of 589.3 trillion tokens, it has a market capitalization of $14.3 billion. A gain of 99,900% would propel that market cap to a whopping $14 trillion.
In other words, Shiba Inu would be more than four times as valuable as Microsoft, which is the world's largest company. It would also be roughly half as valuable as the entire U.S. economy, which generated $28.2 trillion in gross domestic product (GDP) over the past 12 months.
Personally, I don't think that is within the realm of possibility given some of the issues I highlighted earlier, especially the token's sheer lack of adoption. In reality, it's nearly impossible to place a fair value on a speculative asset like Shiba Inu. Unlike a company, it doesn't generate revenue or earnings, which could otherwise be used to assess its worth. Instead, its price is set by whatever the next person is willing to pay.
Anthony Di Pizio has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends Bitcoin, Ethereum, and Microsoft. The Motley Fool recommends the following options: long January 2026 $395 calls on Microsoft and short January 2026 $405 calls on Microsoft. The Motley Fool has a disclosure policy.
Unlike a company, it doesn't generate revenue or earnings, which could otherwise be used to assess its worth. Instead, its price is set by whatever the next person is willing to pay. Therefore, it's unlikely that investing $1,000 in Shiba Inu
Shiba Inu
Shiba Inu token (ticker: SHIB) is a decentralized cryptocurrency created in August 2020 by an anonymous person or group using the pseudonym "Ryoshi". It is inspired by the Shiba Inu (柴犬), a Japanese dog breed, which also serves as the mascot for Dogecoin, another cryptocurrency with meme origins.
https://en.wikipedia.org › wiki › Shiba_Inu_(cryptocurrency)
Even though Shiba Inu has taken its owners on a wild ride, it has still put up an all-time return of more than 1,300,000% (as of Sept. 3). This means that had you simply invested approximately $75 in Shiba Inu back in August 2020, you'd be a millionaire today.
Those who enthusiastically embraced the initial hype surrounding this meme coin found themselves among the ranks of millionaires. As of August 2021, two blue-collar workers managed to capitalize on the opportunity and amass substantial wealth by investing in Shiba Inu in 2020.
Shiba Inu (CRYPTO: SHIB) opened in 2021 at a price of $0.0000000000773 per token. By the end of that year, it reached $0.000035, which was a mind-boggling gain of 45,278,000%. That would have been enough to turn a perfectly timed investment of $1,000 into $452 million.
Instead, its price is set by whatever the next person is willing to pay. Therefore, it's unlikely that investing $1,000 in Shiba Inu will turn you into a millionaire. In fact, you might be better off investing that money in the stock market instead.
The largest holder of Shiba Inu is a dead wallet containing 41% of the SHIB supply, a result of a burn by Ethereum co-founder Vitalik Buterin. An anonymous investor is the second-largest holder with 48 trillion SHIB, about 8% of total circulation.
A more realistic prediction for Shiba Inu's price by 2024-2025 is from $0.0001 to $0.0003, assuming favorable market conditions and continued development within its ecosystem. Investors should remain cautious and consider the broader market conditions and inherent risks of investing in meme coins.
Half of the top 20 billionaire hedge fund managers now own Bitcoin. And, in some cases, they are selling off Nvidia in order to buy up this red-hot cryptocurrency for their portfolios.
"Of the six new crypto billionaires created over the past year, five came from Bitcoin, underscoring its dominant position when it comes to attracting long-term investors who buy large holdings," Andrew Amoils, New World Wealth's head of research said.
According to the Crypto Wealth Report 2024 from Henley & Partners, there are 172,300 crypto millionaires in the world right now. That's a 95% increase from a year earlier, so obviously, a growing number of people are becoming very wealthy from buying and holding crypto.
By January 2025, 5SCAPE could potentially increase 1000x from its current value, driven by its expanding ecosystem and the growing VR market, making it a compelling investment. The token will soon witness a boost and could breach $1 mark post launch.
SHIB Needed to Make $100K if Shiba Inu Rises 10x, 50x or 100x. To achieve $100,000 with SHIB rising 10x, you would need to have 558,659,217 tokens. Currently, these tokens would cost $10,000. In a scenario where Shiba Inu increases 50x, you need 111,731,843 SHIB to make $100,000.
A $100 investment at the time could have bought 196,078,431,373 Shiba Inu. That investment would be worth an astonishing $6,398,039.22 today based on a price of $0.00003263 for Shiba Inu at the time of writing. Shiba Inu hit an all-time high of $0.00008845 in October 2021.
Holding 10,000 Dogecoin Could Make You A Millionaire, Predicts Crypto Analyst. Since 2021, Dogecoin (DOGE) has consistently been one of the largest cryptocurrencies in the market. The token has attracted tens of billions in investment and is up more than 27,000% since its launch.
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Introduction: My name is Maia Crooks Jr, I am a homely, joyous, shiny, successful, hilarious, thoughtful, joyous person who loves writing and wants to share my knowledge and understanding with you.
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