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‍Paw-sitively Profitable

Back in 2013, Dogecoin (DOGE) launched as a tongue-in-cheek knock-off version of Bitcoin (BTC). It was inspired by Kabosu, an incredibly cute Shiba Inu dog that sadly passed away last year, though not without leaving an Instagram account full of posts to remember her by.

The picture that started the meme. Fundamentals… what? Look at this cute doggy.  Source.

Fast forward to 2020, and Shiba Inu (SHIB) popped up as a parody of the parody. Both were brushed off as silly, short-lived plays… until they weren’t. In February 2021, a certain billionaire you might have heard of, called Elon Musk, drew attention to Dogecoin through a series of tweets. One could safely pinpoint that tweet spree as the origin of the memecoin bonanza.

Now, let’s fast forward to September 2025. A $100 bet on Dogecoin at $0.0002 would be worth about $124,850 today. The same stake in Shiba Inu at launch? Nearly $25.5 million. Meme magic at its wildest.

For a time, Shiba Inu looked like the stronger contender thanks to its growing ecosystem. But 2025 has flipped the script: SHIB is up a good 24%, while DOGE barked its way to a massive 173% gain. Let’s dig into why.

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Two Breeds of Dogs

Dogecoin runs on Litecoin’s proof-of-work code, meaning it still relies on miners. It’s inflationary, has no max cap, and uses Scrypt for faster, cheaper payments than Bitcoin. That’s given it a reputation as the “fun” payments coin.

And of course, the Musk effect can’t be ignored. Elon has championed DOGE in tweets, Tesla accepts it for select merch, and even the government’s Department of Government Efficiency was cheekily nicknamed DOGE. Very few coins, memes or not, can summon mainstream buzz the way Dogecoin can.

Shiba Inu, on the other hand, was built on Ethereum. It ditched mining for staking, is deflationary thanks to aggressive token burns (over 40% gone already), and plugs into Ethereum’s smart contract universe. That makes it more versatile than DOGE on paper.

In recent years, Shiba Inu rolled out Shibarium, a Layer-2 chain for speed and lower costs, and ShibaDEX, a cross-chain DEX. The project isn’t just riding a meme, it’s trying to build an ecosystem too.

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The Dog Race Is on

For starters, both coins could ride a friendlier U.S. regulatory environment as crypto advocates step into power.

For Dogecoin, near-term ups include:

• Possible integration into Musk’s 𝕏 platform as a payments option.
  
  
• Wider retailer adoption.
  
  
• Network upgrades for scalability.
  
  
• And, of course, the constant wildcard of Musk’s next DOGE tweet.

Rumors of a Dogecoin ETF keep swirling too, which could inject serious momentum.

Shiba Inu’s playbook looks different:

• Ongoing Shibarium growth and new developer activity.
  
  
• Token burns that keep tightening supply.
  
  
• A developing metaverse with virtual land sales.

However, without a Musk-like hype machine, SHIB’s catalysts may not hit as hard.

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Elon Musk’s first Dogecoin tweet, which started it all. Source.

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So… Which Meme Coin Will Bark the Loudest?

Both coins are speculative, fueled as much by community buzz as fundamentals. Shiba Inu has a deeper ecosystem and long-term ambition. Dogecoin has clearer short-term sparks and, crucially, Elon Musk’s megaphone.

If forced to pick for the next 12 months, Dogecoin seems to have the edge. It may be the older meme, but for now it still has more bite.

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You've likely come across the term "token" in your crypto ventures, or heard Bitcoin and Ethereum described as a token, but what does this all mean? In this article, we're breaking down what a token is, and how to distinguish a coin from a token and how it can be used as a tool to store value.

Token Definition

A token, in the cryptocurrency sense of the world, represents a particular asset or utility. It's worth noting in this item that tokens and cryptocurrencies are terms often used interchangeably however they technically differ. Tokens typically fall into one of the following three categories:

Payment tokens

These tokens allow users to purchase goods and services outside of the blockchain, offering an alternative currency. 

Security tokens

Similar to initial public offerings (IPOs) on the stock market, security tokens offer users an ownership stake or entitle the holder to dividends in a blockchain project. 

Utility tokens 

Utility tokens offer users access to a service within a particular ecosystem, similar to loyalty points on a Starbucks card. These points hold value within their own ecosystem but cannot be used outside of that. ‍

Coins vs Tokens

Getting more technical, when exploring coins vs tokens, tokens are categorised as crypto assets that have been built on top of another blockchain while coins are built on their own blockchain. 

Ether, for example, is the native token to the Ethereum blockchain, however, the platform allows developers to create a range of token standards on top of it. Based on this information, all ERC-20 tokens are therefore categorised as tokens as opposed to coins. 

USD Coin (USDC) and Tether (USDT) are therefore tokens as they are built on top of the Ethereum blockchain. While each network is operated by its own leadership, both use Ethereum's blockchain to facilitate all transactions.‍

How Are Tokens Traded?

Much like coins, tokens can be bought, sold and traded on exchanges, or sent directly from one wallet to another. This is facilitated by blockchain technology, in the same way that coins are transferred from one location to another. Unlike coins, which are all fungible in nature, tokens can sometimes be non-fungible, meaning that they are not identical in value and function. 

Tokens are sent using the wallet address of a recipient's blockchain-compatible wallet. The address is often represented by a barcode in the form of a QR code, or through a lengthy alphanumeric code. All transactions take place from the wallet holding the tokens and are sent directly to the wallet of the recipient without the need for a centralized authority like a bank. Tokens can typically be bought on exchanges, often with Visa or Mastercard, or exchanged between users.

How is an NFT Different from Cryptocurrency?

Non-fungible tokens (NFTs) are all different from each other as they each represent a real-world object, whether a digital piece of artwork or a bottle of fine wine. Bitcoin can be traded for anything around the world, whereas NFTs are unique in nature and while they hold value they cannot be used interchangeably. 

What Are NFTs Used For?

NFTs are used to represent a particular asset, whether it be physical or digital. When minted, these tokens will permanently represent that asset and cannot be changed. For example, one NFT could represent an apartment in London while another could represent a song by Kings of Leon. The possibilities are endless, and the marketplaces are huge.

Users can easily trade NFTs on marketplaces (through a website or mobile app) such as OpenSea or Rarible. Once you own an NFT you are credited with the ownership rights of the asset the NFT represents. Due to the nature of blockchain technology, this is permanently displayed on the network's public ledger for anyone to review. This process ensures that the ownership of an NFT cannot the changed and the information is available for anyone to credit.

Note that several blockchain networks currently support the minting of NFTs, and the holder will need a wallet specific to that blockchain in order to hold the NFT.

Are Tokens Regulated?

When it comes to regulation, countries around the world are currently drawing up legal frameworks to better implement cryptocurrencies into our current financial system. This includes the likes of tokens.

Once cryptocurrencies are regulated by government authorities, they could provide the world with unrealized use cases like being used to manage a prescription at a pharmacy or clinical services or to provide feedback to IT support. While there are plenty of tokens available on the market today, it's likely that this is only the tip of the iceberg in terms of their potential to improve issues faced around the world.

As you navigate the waters of the cryptocurrency market you're likely to come across a term called "coin burning". In this article, we're exploring the process used to manage the token supply of projects, a means for companies to manually alter the supply (and thereby demand) of a token's circulating supply. While not adopted by every project, coin burning has proven over the years to be successful in increasing the price of a digital currency.

What Is A Coin Burn

Diving right in, a coin burn is the process of removing a certain number of tokens from circulation by sending them to an invalid address, a "black hole" of sorts. This process is written into the project's code and implemented at various increments as outlined in the whitepaper. While Bitcoin doesn't make use of coin burning, many projects on the Ethereum network, particularly ERC-20 tokens, have been known to implement it.

Through the use of a smart contract, also known as a burn function, the network would remove a specified number of tokens from circulation, decreasing the total supply and thereby (hopefully) increasing the demand. Coin burns have been known to lead to an increase in price, as the supply-demand ratio is altered.

An Example Of Coin Burning

A top 10 cryptocurrency project underwent a coin burn last year that is believed to be the biggest layer 1 token burn to date. 88.7 million LUNA, the native coin to the Terra project, were burned in November 2021 following a vote by the community. This was effectively worth $4.5 billion at the time. A few days following the coin burn the LUNA token hit a new record high. 

The burn aimed to remove value from Terra’s community pool, but in reality, it simply moved the value from the pool to the individual holders of the cryptocurrency.

Bitcoin Cash and Stellar are two other high profile cryptocurrencies that have made use of the coin burning initiative. Shiba Inu is another cryptocurrency to have undergone a coin burn, although this wasn't the initial intention of the project. The project's developers gifted half of the SHIB supply to Ethereum creator Vitalik Buterin, who went on to donate 10% and burn the remaining 90%.

How Does Coin Burning Work?

Should a project wish to implement a coin burn they will need to create a smart contract. Smart contracts are digital agreements that execute when certain criteria have been met. Say a project wants to implement a coin burn every 200,000 blocks, they will create the burn function to include this instruction.

When this milestone is achieved, the coins will automatically move from the designated wallet to a wallet address that does not have a private key. Without a private key, these coins can never be recovered. The coins will then be sent from the one wallet address to the other and effectively be removed from circulation. The transaction (burn) will be added to the network's blockchain records and be available to view through the blockchain explorer.

The Downside To Coin Burning

Before you invest in a project that undergoes coin burning it is important to note that coin burning does not guarantee an increase in the coin's price. The increase in price will depend on the network, the market climate and the current sentiment. During the Shiba Inu coin burn, while the price rose considerably, it soon returned to a more stable and substantially lower level.

Coin burning can also be used by ill acting developers to deceive the community. Say a project has a total supply of 100 million tokens and allocates 10 million to the platform's developers. They could then burn 40 million tokens, increasing their hold to 60% of the circulating supply on the network.

As with all transactions conducted on the blockchain, all payments are irreversible meaning that once you burn coins they can never be recovered.

What Is Proof Of Burn?

Not to be confused with coin burning, Proof of Burn (PoB) is a consensus mechanism similar to Proof of Work and Proof of Stake. The model utilizes an element of coin burning in its mining practice and is known to use considerably less energy than its PoW counterpart.

The process requires miners to burn tokens in order to participate in the mining process. The more coins burned the more blocks they can create, meaning the more rewards (in the form of transaction fees) they can earn. Miners are still required to use mining hardware. The benefit of this is to provide a less energy-intensive blockchain network that can run optimally through a network of decentralized mining participants.

ICO is an abbreviation for Initial Coin Offering, a term coined supposedly in 2013 yet only gained popularity in 2017. ICOs were created as a method of raising funds for cryptocurrency projects in a crowdfunding manner. When people partake in an ICO, through funding it, they receive "shares" of that project in the form of cryptocurrency tokens.

This method is set up to help new projects find funding to build their project, platforms, or products. It's very similar to investing in a start-up in the hopes of a project becoming bigger and better through your investment contribution.

Mastercoin was the first ICO recorded back in 2013, raising a grand total of 5,120 BTC. Shortly after, Ethereum followed, and in 2014 raised roughly $18 million to build their project. There is clearly a great deal of success to be seen through ICOs, so let's see what all the fuss is about.

ICO vs IPO vs IEO

Let's look at IPOs, or initial public offerings, to learn more about where ICOs originated.

Similar to ICOs, IPOs were created as a way of gaining capital to better the businesses' infrastructures. While they are similar to a crowdfunding aspect,the primary distinction is in how investors are rewarded. IPOs will offer their investors shares, while ICOs offer digital currencies that can be used within their ecosystems or can be sold when the price increases.

Now that we understand how ICOs and IPOs work, let's discuss the differences when it comes to IEOs, or Initial Exchange Offerings. Again, this is another method used to raise funds for upcoming projects, but there are some key aspects that make IEOs different to IPOs and ICOs. While IEOs are also a crowdfunding method in the cryptocurrency industry, they use an exchange. Anyone can generally buy tokens from an ICO page, whereas IEOs use exchanges as the distribution mechanism.

In order to take part in an IEO, you must be a registered user of the exchange that the project is utilizing. While IEOs may be more transparent, they do push us towards a more centralized approach. There are also IDOs, Initial Dex Offering, Dex standing for decentralized exchange (increasing the data privacy aspect), but that's a topic for another day.

How they work

So now we know what ICOs are and how they differ from their counterparts, but now let's delve deeper into how ICOs actually work. As stated, ICOs are a way for cryptocurrency projects to raise money. When a project decides to launch an ICO it will generally underline the sale dates, the participation rules, and the buying process.

Usually, investors will need to choose currencies they are happy to accept in exchange for their tokens, such as Mastercoin accepting Bitcoin. There are some ICOs who will also accept fiat currencies as payment.

The projects' core purpose, its timeline, and how much money is needed to succeed should be released in their whitepaper. If the project does not raise enough money to meet the minimum funds needed, the money should be returned to those who contributed. This would classify the ICO as unsuccessful.

If the funding goal is met, the project will continue to pursue its original goals and contributors will be able to claim their tokens further along. Tokens will either be listed on notable exchanges later on or will be distributed using smart contract technology,This is something you should do more study on before contributing to an ICO.

Advantages and disadvantages

While ICOs have proven to be a massive benefit to project developers, there are some underlying issues and risks that may come into play. In order to give you the best chance of understanding ICOs we will need to cover all the pros and cons that come with ICOs. So let's see what you have to look out for:

Pros

        High potential profits

        Accessible to anyone (unlike IEOs)

        Money returned if unsuccessful (smart contacts)

        Transparency on fund usage (Blockchain)

        High liquidity

Cons

        No intrinsic value

        No legal guarantees

        Potential fraud

Frequently asked questions

Now that we have covered the basics, there are some additional questions the internet has and we thought we would take the time to answer them for you. These are the most frequently asked questions about ICOs, and while we have answered some here is a more TL;DR breakdown:

What does ICO mean?

ICO stands for Initial Coin Offering, a phrase coined by the cryptocurrency industry.

What is the purpose of an ICO?

ICO is a method used to raise funds for up and coming projects, think of it as an early investment phase.

How do I get an ICO?

That depends on the ICO you want to partake in, you will generally need to sign up to the ICO, deposit funds, and wait for the tokens to be distributed either through an exchange or smart contract. This differs depending on the projects' ICO parameters.

Is Bitcoin an ICO?

No, Bitcoin required no funding, tokens were mined and sold without the need for crowdfunding.

How many ICOs are there?

There is no definitive number out there but consensus shows that there have been roughly over 7,000 businesses that have attempted ICOs.

Are ICOs safe?

This is a tricky question and depends greatly on the individual project that is hosting an ICO, whether they are using smart contact technology, and how legitimate the team behind it is. ICOs can be safe, but they also carry risks, it is always best to do your own research before investing.

As there is no universal authority on ICOs there is certainly a lack of regulation in the space so be sure to do thorough research before parting ways with your money.

Closing Thoughts

That is all the essential information you need to grasp in order to better understand what an ICO is. From the textbook definition to its competitors, how it works, and everything in between. ICOs are popular for a reason, they offer a range of benefits to both projects and investors, but you should keep in mind that there is no benefit without risk.

While we can explain what an ICO is, we can not tell you whether to invest in an ICO. It's important to vet the project for yourself and see if it aligns with your interests, and more importantly if it has all the key components for a legitimate project and token.

While the world is increasingly accepting of ICOs from both businesses and retail investors standpoints, there are several alternatives available. We briefly discussed IEOs and IDOs, but more crowdfunding methods have flourished from the origins of ICOs, so be sure to explore those out too. At the end of the day, we hope we helped you better understand what an ICO is.

When learning about paper wallets it's likely that you came across this option nestled safely in the “cold wallet” section in the different types of cryptocurrency wallets. While the popularity of paper wallets has somewhat declined, there are still a strong number of crypto enthusiasts that still appreciate the completely offline storage option. Let's explore what is a paper wallet and whether it's suited to your crypto needs.

What is a paper wallet?

For those needing a recap, a paper wallet is a piece of paper that holds both one’s public and private keys in both alphanumeric form and QR codes. Known as a non-custodial cold storage wallet, paper wallets allow the holders to manage their own private keys and remain entirely offline. A private key is a unique code that grants a user ownership of their wallet and digital funds, akin to a pin code for a bank account.

Creating paper wallets is incredibly simple, and can be completed in a matter of seconds. As a paper wallet "functions" offline, this makes them free from hackers, unlike a software wallet which is operated online. However, the paper wallet still carries its own set of risks in that the piece of paper cannot get damaged or lost.  Many Bitcoin paper wallets have been lost due to the paper fading or the information becoming illegible.

The objective of keeping a paper wallet is to keep the private key safe whether its for a Bitcoin paper wallet or one designed to hold any other cryptocurrency. Each crypto wallet will be designed to store one specific cryptocurrency.

The term Bitcoin wallet is a generic term for any type of crypto wallet, whether a paper wallet, a software wallet or any type of online wallet or hot wallet. The only distinguishing factor is that the digital wallet only holds Bitcoin.

Precautions for using paper wallets

While storing the paper wallet securely in a safe location makes the top of the list here, other precautions to take are listed below:

Quality printer

Always use a good quality printer. Ensure that your paper wallet is printed with a high-quality inkjet printed to ensure that the characters on the paper don’t fade or bleed over time. Should this happen you could lose access to your funds. 

Don’t share private keys

Never share your private keys with anyone. Paper wallets are designed to show the public key QR code on one side and the private key on the other. When sharing your public key with someone be sure not to accidentally share the private key as then they could gain access to your funds. 

Be sure to set up a change address

If you don't set up a change address before sending funds from a paper wallet, the leftover funds will go to waste. A change address is a separate wallet address that picks up the change from a transaction. 

If you have, for example, 100 BTC in your Bitcoin paper wallet and only spend 0.50 BTC, the remaining  99.5 BTC will either be sent to the change address or lost from your own paper wallet entirely. 

Paper wallets are not designed to be used for sending funds, but instead for receiving and storing funds for the long term. Hot wallets (as opposed to paper wallets) are better suited to users looking to frequently send and receive funds. There are plenty of crypto wallets on the market, ensure that you find the most convenient one for you.

Alternatively, funds can be stored in a yield-generating account where your funds can earn interest. Tap offers a wallet of this nature conveniently located on the app, which allows users to hold several crypto and fiat currencies and earn rewards based on each currency. The longer the funds remain there, the higher the yield.

While paper wallets remain offline, there are still risks associated with them. Be sure to adhere to the above precautions in order to keep your funds safe. 

Are paper wallets still relevant?

In the early days of crypto trading, paper wallets were strongly advised due to the offline safety of storing private keys. They began to be popular around the end of 2010 but unfortunately have been on a decline in more recent years as innovation in the industry has picked up momentum. A paper wallet is resistant to online attacks as long as it's made correctly; you can't hack a piece of paper.

In the past, people could create and print paper wallets for their crypto right from their exchange accounts. But now experts believe that hardware wallets are a more secure option, so most major exchanges don't offer this service anymore.

While some die-hard crypto traders still believe in the solid security of paper wallets, there are plenty of more innovative options available on the market today. 

Whether dissecting crypto or fiat currencies, the foundations remain the same: the currency must serve as a store of value and function as a medium of exchange for goods and services. While both these currency options tick those boxes, cryptocurrencies tend to also be followed by a dark cloud of volatility in the financial sector. 

Market volatility is a natural byproduct of a developing market, however, it can also cause many losses if not managed correctly. When the crypto markets go through high levels of market volatility they tend to get discredited with being a viable payment option. After paying withness to the Bitcoin market swings, several individuals recognised this flaw in the digital currency space and created a solution, "the stablecoin". 

In this article we establish what is a stablecoin is, how it fits into the financial landscape and explore the pros and cons of these digital currencies.

What Is A Stablecoin?

Stablecoins are digital currencies that harness the benefits of being a decentralized, blockchain-operated currency without volatility. Backed by any currency or commodity, stablecoins are pegged to the value of their underlying asset and managed and secured by their relevant platforms. For instance, Tether is pegged to the US dollar while Tether Gold is pegged to the price of gold and Tether EURt is backed by the Euro. 

These currencies operate like any other cryptocurrency, using blockchain technology to maintain and operate the network, but do not fluctuate in value based on supply and demand. Rather the price remains consistent with the asset it is pegged to, providing a better tool for digital payment transactions.

How Do Stablecoins Maintain Their Price?

While we've established that stablecoins are pegged to a commodity and reflect that price, let's cover how exactly that is achieved. Using fiat-backed stablecoins as examples, the companies behind these coins are required to hold a US dollar equivalent for each coin in circulation (or Euro if the stablecoin is pegged to it). 

These funds, also referred to as reserves, are either held in bank accounts or can be a combination of cash and short-term U.S. Treasury bonds. Most of the companies issuing stablecoins conduct third-party audits to prove that their reserves are at the correct levels and release this information to assure users that their coins are always worth $1 (or the currency-backed equivalent). 

Why Have Stablecoins Become so Popular?

The first stablecoin to enter the market was Tether in 2014, pegged to the US dollar. Tether is currently the third-largest cryptocurrency based on market capitalization, illustrating its vast popularity. The second biggest stablecoin currently on the market is USD Coin, also backed by the US dollar, which sits in the top 5 biggest cryptocurrencies with an equally impressive trade volume. Both these coins have provided valuable talking points within the industry as their market caps and adoption increase and they climb the ranks of the biggest cryptocurrencies.

Due to their resistance towards volatility, stablecoins have increased in popularity and are more widely used for conducting business around the world and executing cross border payments.

The Pros Of Stablecoins

Stablecoins are popular options for both businesses and individuals conducting business across borders. Below we outline the top benefits that stablecoins present to the market:

Digital Currency

The obvious first benefit of stablecoins is that they are maintained by blockchain technology and able to conduct international transactions in a much shorter time frame and for less cost than fiat currencies. The fast settlement times make these currencies an excellent, cross-border medium of exchange. They are also easy to use as they operate from wallets in similar ways to traditional cryptocurrencies.

Zero Volatility

Due to the nature of stablecoins being pegged to a fiat currency or commodity, they typically experience little to no high volatility trading periods resulting in a more reliable currency with the benefits of blockchain technology. Pertinent to increasing its adoption.

Hedge Against Failing Markets

Stablecoins have become increasingly popular for traders to hedge against other cryptocurrencies when markets experience a decline in price. Stablecoins allow traders to quickly liquidate their digital assets and easily reenter the market when the price stabilizes. 

The Cons Of Stablecoins

Centralisation

While blockchain technology and cryptocurrencies celebrate the notion of being decentralised, stablecoins do bring in a nature of centralisation, particularly when it comes to the backing of the assets. Ensuring that each coin in circulation is backed by an equal reserve value requires a team that leans the operation more toward a centralized structure.

Transparency

Several stablecoins have been called out publicly for not being transparent with their reserves. Tether, for example, has seen much public outcry concerning whether the company has the correct amount of reserves, leading to fines and regulations imposed by the US government. They have since released a report on the current reserve holdings of the company. 

In Conclusion

Many traders have incorporated stablecoins into their portfolios, to have as a hedge against falling crypto markets or falling fiat markets. These digital assets are also used by businesses around the world to conduct payments with the benefits of digital currencies and without the risk of volatility. Through the Tap app, users can now access and purchase USD Coin (USDC) as well as Tether (USDT). The sleek design of the app interface makes it easy for users who want to buy or sell cryptocurrencies with fiat currency through their phones in a click. 

When it comes to choosing a stablecoin, consider the projects behind it, the liquidity and the ease of use in terms of wallet compatibility.

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