How to buy Shiba Inu coin (SHIB) in the UK

How to buy Shiba Inu in 4 steps

1. Compare crypto exchanges
   The easiest way to buy Shiba Inu is from a cryptocurrency exchange. Comparing in the table helps you find a platform with the features you want like low fees, ease of use or 24-hour customer support.
2. Create an account
   To create an account on an exchange, you will need to verify your email address and identity. Have some photo ID and your phone ready.
3. Make a deposit
   Once verified, you can deposit GBP using the payment method that best suits you – cryptocurrency, bank and card payments are widely accepted.
4. Buy Shiba Inu
   You can now exchange your funds for Shiba Inu. On beginner-friendly exchanges, this is as simple as entering the GBP or SHIB amount you want to purchase and clicking "buy". If you like, you can then withdraw your Shiba Inu to a personal wallet.

What is the cheapest way to buy Shiba Inu?

Most exchanges let you buy as little as £5 worth of SHIB, if not less. Just type in how much you want to spend in GBP and let the exchange work out the rest.

Some platforms only offer 1 way to buy Shiba Inu, while others provide several choices. The 2 most common ways to buy SHIB are on the spot market or with an "instant buy" feature.

Instant buy

If it's your first time buying Shiba Inu this will be the fastest method – but also the least cost-effective.

You'll usually find the instant buy section under a "Buy now" heading on the platform you've chosen.

It should feature a simple interface that lets you enter the amount of Shiba Inu you want to buy, or pounds you want to spend.

This is usually the only option available for credit or debit card purchases, but you may also be able to make an instant buy if you've pre-funded your account with a bank transfer.

Be prepared to pay a markup on SHIB's market rate in exchange for the convenience.

Spot market

If you see colourful charts with a range of prices, you're probably in the spot market.

The spot market is where buyers and sellers come together to place bids for SHIB on the open market. It's usually the cheapest way to buy Shiba Inu because it lets traders set their own price.

You'll find the spot market under a "Trade" or "Spot" heading on the site or app menu of the platform you've chosen to use.

There are several different order types that you can make on the spot market.

• Market order. This will buy you the amount of Shiba Inu you specify at the lowest possible price available. This makes it like an instant buy order, but with much lower fees.
• Limit order. This is the most common order type and lets you purchase Shiba Inu at the price you specify. Traders use this to time the market and capitalise on price dips or increases.

How to find the best place to buy Shiba Inu in the UK

There are dozens of different trading platforms to choose from when buying Shiba Inu in the UK, so to help you find your best option, keep these factors in mind:

• Where it's registered. Using a locally registered exchange is a good idea. It's more likely to accept pounds and local payment methods like , which helps avoid foreign exchange fees. Choosing from UK-based exchanges also means it's likely to be registered with the Financial Conduct Authority (FCA) which means it has to comply with local laws in the UK.
• Security. Look at the security features the platform has to offer, like 2-factor authentication and PGP-encrypted emails. Cold storage of user funds is considered industry standard, but insurance funds are less common and indicative of good security practices.
• Fees. Check the fine print to find out exactly how much your transaction will cost. Depending on the platform you choose, these could include spreads, trading fees and deposit and withdrawal charges.
• Transaction limits. Are there any minimum or maximum limits on the amount of Shiba Inu you can purchase? Does the exchange restrict the amount of funds you can withdraw from your account in any 1 transaction or 24-hour period?
• Other platform features. Look out for other features that suit your investment or trading needs. For instance, many exchanges now let you earn yield on your holdings, while some issue crypto debit cards to help you spend your coins.
• Customer support. If you ever have a problem with a transaction, will you be able to quickly and easily get in touch with the customer support team? Are they based in the UK? Check what contact methods are available and find out how quick the team is at responding to enquiries.
• Insurance fund. A small number of exchanges now insure user funds. Beware that policies vary greatly between exchanges, so you'll need to research this thoroughly if insurance is important to you.
• Reputation. As a young industry, reputation can provide a lot of clues when choosing an exchange. For instance, who are the founders? Have there been any controversies? Are their business practices transparent? If you can't find any of this information, that may be a red flag.
• Range of coins. If you're thinking about adding other cryptos to your portfolio in the future, check to see what other coins you can buy through the platform.
• Read reviews. Finder's crypto exchange reviews include user feedback, which helps you get a better idea of what the exchange is like to use for other people starting out just like you.

Is Shiba Inu safe to invest in?

You shouldn't invest in any asset, including SHIB without doing plenty of research first. Before you buy Shiba Inu, make sure you understand and weigh up these risks:

• Price volatility. Shiba Inu's price is largely based on speculation, which means it can rise or fall in a short time. It's not uncommon for SHIB to lose more than 10% of its value in a single day.
• Perceived value. SHIB is a unique asset that does not have any tangible value. It derives most of its value from utility and speculation.
• Exchange vulnerabilities. Leaving your Shiba Inu on a crypto platform exposes you to several counterparty risks, including:
  • Scams. Scammers frequently try to trick exchange users into handing over their username and password, often by phishing with malicious emails or fake website links. Use 2FA and encrypted emails to help protect your funds.
  • Hacks and theft. Exchanges are vulnerable to hacks and theft, so choose one with good security practices and a track record of safety.
  • Fiscal mismanagement. In mid-2022 a number of crypto platforms froze user funds after it was revealed they had engaged in irresponsible funds management.
  • Insurance. Unlike stocks, only a small handful of exchanges provide insurance on your cash deposits.
• Regulatory uncertainty. The regulatory environment for Shiba Inu and other cryptos is constantly changing. It's important to understand how international rulings have the potential to impact Shiba Inu's future – for better or worse.
• Novel technology. Shiba Inu was created in 2020 which makes it relatively new as a form of technology and as a currency. SHIB doesn't yet have the same track record or performance history as some other asset classes.
• Technical learning curve. Evaluating the tech behind SHIB before you invest is important, but requires a deep understanding of the blockchain and other aspects of decentralised finance. You should be prepared to do plenty of research.
• Competitor projects. Shiba Inu was launched in August 2020 with no real objective in mind other than becoming the "Dogecoin (DOGE) killer". It has since tried to mature beyond memecoin status by introducing a decentralised exchange (DEX), ShibaSwap. Even so, other DEXs offer far more advanced ecosystems and services.
• Community-driven. As a memecoin, the price of SHIB is largely dictated by its community and their efforts to send "Shiba to the moon". If the community hype starts to die down, the price will likely slump with it.
• Macro environment. Economic uncertainty in 2023 has triggered a "risk-off environment" for investing. In times like these, many investors offload speculative investments. Most cryptos including SHIB are considered high-risk investments and prices are down significantly from 2021's highs.

Today's Shiba Inu price versus ATH

Compare today's price of Shiba Inu ($0.00001126 USD) against its all-time high (ATH) price of $0.00008616 USD on October 28, 2021. The closer the bar is to 100%, the closer SHIB is to reaching its ATH again.

How is Shiba Inu taxed?

Shiba Inu is treated as a capital asset by HMRC, which means if you sell, trade, spend or gift SHIB during the tax year, you will need to report any taxable profit in your self-assessment return.

Investors will need to declare any profits as capital gains, while you may be able to use losses to reduce your tax bill or offset any future gains. If you mine or stake Shiba Inu, or trade it in large volumes, you may be required to pay income tax instead of capital gains tax.

You can learn more in our guide to crypto tax rules in the UK.

After you've bought Shiba Inu

Bottom line

If you want to buy Shiba Inu, start by comparing a range of crypto brokers and exchanges available in the UK. Look at their features, fees, security and overall reputation to decide which platform is the right fit for you. Consider an exchange registered with the FCA for added peace of mind.

Remember that owning and using Shiba Inu is not without its risks. Carefully consider investing in SHIB as part of a wider strategy, and talk to a financial advisor if you have any questions.

Once you've bought some SHIB, think about what your short and long-term goals are. This will help you decide whether to keep it on an exchange, or move it to your own wallet.

FAQs