Welcome to this post, where we are going to see how shibaswap works, the swap that has come out of one of the fastest growing cryptocurrencies in the last year.
Shiba Inu, besides declaring war on doge coin, decided to bring something more useful to its currency, and create your own decentralized exchange, in the ethereum network, just like its cryptocurrency.
Since its launch it has been a success, due to the great community around Shiba, and it has become one of the main DEFI exchanges used in the Ethereum network, competing with Uniswap.
We are going to cover the main aspects of their swap, but it is important to note that it is still under development and there may be some changes and new features at the time you are reading this. I recommend you to visit their official website once you have finished the article.
What is ShibaSwap
ShibaSwap is a decentralized exchange on the ethereum network, which allows its users to exchange cryptocurrencies on the ethereum network with a fully decentralized wallet. In addition to being able to provide liquidity and get a return for it.
Shibswap stands out for being able to exchange meme coins, such as cryptocurrencies of dogs that only have liquidity in this swap, and you can not exchange in other platforms such as Uniswap. Being a swap out of a meme coin, many new cryptocurrencies, have decided to use this swap to provide liquidity and that is the only way to buy it, instead of going to uniswap.
In addition to their swap and farming with LP Tokens, they have also added staking options to generate even more shiba, Bone or Leash, the three cryptocurrencies they have launched since shiba. At the moment, they are also developing a community of NFT’s, with a total of 10,000 different NFT’s that can be purchased on the opensea Marketplace, and soon, on shibswap’s own Marketplace.
Aspects to consider
Before going into more detail of each aspect, mention that shibaswap uses the Ethereum network, where you must take into account the commissions or gas fee, which are very high, so if you have a capital of less than $ 5,000-10,000, I do not recommend using the ethereum network, as you will be paying $ 300 or more in commissions just to make a swap or provide liquidity.
The swap is the main part of shibaswap, and where we can exchange any cryptocurrency for another, as long as there is enough liquidity within the platform. In from, indicate the cryptocurrency you want to use, and in to the one you want to receive. Below, you can see the minimum received, the Price impact and the commission you pay for the swap. Sometimes, you will see the Price impact very high, this is because there is not much liquidity of that cryptocurrency, and I recommend in this case to use another Exchange like Uniswap.
Enter the amount, and click on swap, check the information that everything is correct and click on confirm swap. Confirm in your wallet and you will have your other cryptocurrency.
At the top right, in the settings wheel, you can change the slipping tolerance, and other aspects. If you are going to buy a cryptocurrency with a rebate or tax, you may need to change this value so that you can make the swap and not get any errors.
Dig and Woof
In woof you can provide liquidity with LP Tokens in exchange for an annual %, which comes out of the commissions of each transaction made in shibaswap. If you click on woof, you can see the different pairs and the profitability they are currently giving. Also, you can create your own LP Token if it does not exist and you think it can be profitable in Dig, where LP Tokens are created.
If you are interested in an LP Token, you can click on it, and click on add liquidity. Now, simply indicate the amount of each token you want to add in a 50-50 ratio of each token, click on confirm and confirm in your wallet to add liquidity. If you do not know the risk of impermament loss, you can find a guide on our site, before contributing liquidity, to avoid any surprises.
The rewards you receive are in BONE, one of Shiba’s cryptocurrencies, which you can see on the right the amount you have earned.
In Bury, you will be able to staking Shiba, Leash or Bone, and receive a high annual % for staking your cryptocurrencies here. Click on bury shiba, indicate the amount, and first you must approve the cryptocurrency. Click on approve and confirm in your wallet.
With the cryptocurrency approved, click on bury, and confirm in your wallet. You will receive xShiba, or in the case of stakear Leash, xLeash and Bone, xBone. These tokens indicate your share of the total staked in shibaswap.
At any time you can withdraw your shiba, and the rewards you can withdraw 33% every week, but the other 67%, you will not be able to unlock it until after 6 months. This is a way for shibaswap to prevent the price from falling, by distributing a part of the staking profit after 6 months.
Here, you can find all the Shibaswap data, such as the most used liquidity pairs, the most bought token and the volume in the last 24 hours in shibaswap. It is quite useful if you want to provide liquidity, and you want to see which is the best and most used pair, to get the maximum annual %.
They have also created a collection of 10,000 dog NFT’s, which currently can be bought using opensea, and have a floor Price of 1.4 ETH, about 6,000$. In gallery, you can see the different NFT’s, and the different combinations of aspects such as eyes, color, clothes, accessories and more.
They are working on developing their own Marketplace, where you will be able to buy and sell the NFT’s directly, without using opensea. They are also creating more skins for NFT owners, which is still under development.
Having a NFT allows you to:
- Private club for Shiboshis owners.
- Direct communication with developers, alphas and team members.
- Privileged news about updates and upcoming NFT/Gaming releases.
- Additional benefits through roadmap activations.
I hope this has helped you to learn more about how Shibaswap works and what it can offer you. Remember, if you don’t have an account with binance, you can create one just below.