Shiba Tron: Why you should be wary of the newest puppy on the market

If a new investor comes across a token named Shiba Tron [SHIBT], they could imagine it being the perfect love child of his viral parents – SHIB and TRX. However, that is far from the case and traders should know their facts before deciding to invest in this shiny new memecoin.

Why you should give a SHIBT

It is normal for a trader to look at CoinMarketCap’s list of top gainers when checking the price of another asset. On February 26, Shiba Tron was such a winner, thanks to a rally of more than 1000% in the past 24 hours. In fact, the The price of the BEP-20 token jumped from $0.0005662 to $0.006092 in just one day.

SHIBT had a total supply of 10 billion coins, four billion of which had already been burned. However, the tokenomics is a matter of interest as there is a “reflection fee” on any transfer intended to benefit all holders. Token’s website stated:†

“$SHIBT is a reflection token and as such takes a 10% reflection fee on each transfer and distributes it to all $SHIBT holders. It also happens during a swap, when the sender transfers $SHIBT tokens to the swap contract, which gets 10% less tokens than expected.”

Note that the tax is redistributed to investors “proportionate to their property”, so those with the most SHIBT tokens have the most to gain.

There are also plans to build a Shiba Tron religion after the market cap reaches $500 billion, which would put SHIBT between Ethereum and Bitcoin in terms of market cap.

But if that doesn’t happen, the team will settle for carving a Shiba Tron on a mountain with a $100 billion market cap. You understand why investors can be wary.

Source: shibatron.org

A SHIBT in your fortune?

According to BSCscan, 4,091 addresses have made approximately 6,908 SHIBT transfers to date. In addition, ICANN Lookup revealed that the website domain was created on January 9, 2022. Both facts indicate that Shiba Tron is a very new and up and coming project.

Source: look up ICANN

However, some key red flags contain little to no information about the founding team or their credentials for executing the project. In addition, comments were often restricted on Shiba Tron’s official Twitter account posts. This is an alarming sign as it is getting harder to find honest feedback about the project.

However, in a public comment post, users complained that they were unable to sell their SHIBT tokens.

Source: Shiba Tron on Twitter

Tired of Binance?

In January of this year, PeckShield claimed it had found more than 50 tokens on the Binance Smart Chain with the potential to pull carpets. Some red flags include strange tokenomics and limited user activity.

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