Shiba Inu had previously gained fame for turning many investors into billionaires, but its ability to make success seem suspicious.
Out-of-island fame in 2021 continues to be one of the most popular stories in the crypto market. At the time, cryptocurrency recorded an explosive rally, turning several early followers into overnight billionaires.
However, these days, Shiba Inu appears to be behind the golden age. Tokens, once more than 150 million percent within 14 months, have endured years of inactive performance since.
From the founder of Shib, known by the pseudonym “Ryoshi” to the leading developers, almost every important person behind the project chose to remain anonymous.
Investors initially discovered that this secret was intriguing during the early meme coin cycle. However, according to some commentators, it has been disadvantaged that teams continue to prefer anonymity, especially in today's markets where transparency and reliability are important.
Project development slow and unfinished deliverables
The growth of Shiba Inu over the years, especially the transition from tokens to ecosystems, was impressive. The team has pledged ambitious projects in its ecosystem, including Shibarium, Shibaswap, Shib: The Metaverse, Shib Marketplace and the Layer-3 blockchain.
Some of these projects are fully functional, but many remain incomplete. For example, there are fewer updates on the promised SHIB market and blockchain focusing on L3 privacy. The team has also not yet completed the Metaverse project, which has made many investors irritated.
This has weakened the image of the off-island as a serious project with long-term utility.
Shibarium Hack shakes investors' trust
The launch of Shibarium, the L2 blockchain by Shimauchi inu, was celebrated in 2023 as a key milestone to attract more investors to the ecosystem and boost the adoption of SHIB.
However, blockchain has recently been subject to a catastrophic attack in which hackers sucked up more than $4 million worth of assets. This set-off erodes the trust of holders who banked the bank into Shiv's shiverium as a catalyst for the growth of Shiv.
Shiba Inu Negative Price Action
Shiba Inu made impressive profits in its early days, but many investors are unhappy with its current performance. The token has been stuck around the $0.00001 level for several months despite the massive recovery of other altcoins.
Currently, SHIB is trading at $0.00001,247, 41% year-on-year, 15.11% over the past year, 9.44% over the past week and 4.18% over the past 24 hours. In this long-term stagnation, many investors who once dreamed of becoming billionaires remain with tokens struggling to keep up with the wider market.
Losing top 20 positions
Shiba Inu, previously aiming to regain the top 10 cryptocurrency spots, is currently out of the top 20. It is currently ranked as the 22nd largest cryptocurrency, with a market capitalization of $7.333 billion.
To fall into the ranking means that visibility to new investors will be reduced and further limits the possibility that Shiv will repeat past profits and reduce his chances of creating new billionaires.
Decreased Community Support
One of the key factors behind the rise of off-island meteors in 2021 was the unwavering support from a community known as “Shibarmy.”
This grassroots movement played an important role in securing the list in major exchanges such as Binance. However, following Shiv's overwhelming performance, community support has declined.
Now, many early supporters are promoting other tokens, reducing Shiv's vision and momentum.
Lack of institutional awareness and ETF submission
Even meme coins like Bitcoin, Ethereum and Dogecoin have gained traction through institutional recruitment and ETF submissions, but Shiba Inu remains excluded. Not submitting asset managers to SEC to launch SHIB-focused ETFs in the US
Stakeholders in some community speculate that SHIB can pull ETF filings after Coinbase recently introduced SHIB futures, but no asset manager has publicly confirmed such a plan.
Without ETF support, SHIB has limited potential to attract serious institutional investments, which hinders long-term sustainability and adoption possibilities.
Large supply
Shiba Inu's huge token supply continues to be a major obstacle. More than 589 trillion tokens remain circulating despite over 410 trillion Shivs being burned.
This oversupply brings the challenge for tokens to replicate previous explosive gatherings, making the billionaire dreams more and more unlikely.
The rising competition
Shiba Inu is also fighting a fierce competition with a surge in new tokens that captured investor interest. This year alone, multiple meme-based projects have been announced, including Donald Trump's official memecoin and other celebrities-backed tokens.
As this trend gains momentum, investors' attention is increasingly shifting to these new entrants, with Shiv struggling with a decline in demand.
Conclusion
Given Shiba Inu's anonymous leadership, project delays, recent security issues, and momentum drop, cryptocurrencies may no longer be properly positioned to create new billionaires like they once did.
For the outlook, to turn a $1,000 investment into $1 million, the price of Siv must rise from $0.00001245 to $0.01245.
However, many consider such a target unrealistic given the massive circular supply of Shiba Inu of 589 trillion tokens. At that price, Shiv's market capitalization reaches $7.33 trillion, exceeding the total valuation of Apple and Google.
