Shiba Inu Copycats Flood Market, But Experts Warn of Limited Benefits

The rise of Shiba Inu-themed meme coins on Ethereum and other chains has led some investors to wonder if buying into these tokens is a good idea. However, experts warn that there is no clear investment thesis for the original Shiba Inu or its clones.

Unlike celebrity impersonators, who don't directly benefit from their lookalikes' earnings, the original Shiba Inu doesn't receive any financial benefits from the copycat tokens. Each clone has its own liquidity pool and smart contract, with no royalties or revenue sharing with the original coin.

The Shibarium, a layer-2 network designed to support Shiba Inu, has seen limited adoption and low fees. Despite some claims that it could benefit from the activity on other chains, experts say this is not possible. The total value locked in DeFi contracts on Shibarium is down by 67% since April 21, with no revenue generated from fees.