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How To Buy Shiba Inu In the USA

Last updated 12th May 2022
Disclosure

Shiba Inu (SHIB) is a decentralized meme token based on the Ethereum mainnet. It was one of the hottest meme coins in 2021, recording staggering price increases with the all-time high price recorded in October.

Despite a volatile market, the SHIB community continues to show great enthusiasm. Cryptocurrency regulations in the offing will affect the prices of SHIB in 2022. This page explores the different ways to buy SHIB plus other critical must-know information before investing.

Best Brokers To Buy Shiba Inu in the USA in 2022

The first step to getting SHIB is to find a crypto provider where you can buy and sell SHIB tokens. Here is our list of the top providers in the USA.

1
eToro
Minimum Deposit
$200
Exclusive Promotion
User Score
10
More than 3,000 assets, including currencies, stocks, cryptocurrencies, ETFs, indices and commodities
Buy crypto, or trade cryptocurrencies via CFDs
This ad promotes virtual cryptocurrency investing within the EU (by eToro Europe Ltd. and eToro UK Ltd.) & USA (by eToro USA LLC); which is highly volatile, unregulated in most EU countries, no EU protections & not supervised by the EU regulatory framework. Investments are subject to market risk, including the loss of principal.
2
Coinmama
Minimum Deposit
$100
Exclusive Promotion
User Score
9
Easy to use tool
High profit potential
Offers Phone Support
3
Atani
Minimum Deposit
$100
Exclusive Promotion
User Score
9
Popular among traders
Fast system for trading
Popular for beginners
4
Coinbase
Minimum Deposit
$50
Exclusive Promotion
User Score
6
Trade and invest in over 25 cryptocurrencies
Extremely simple user interface
Over 68 million customers
5
Paybis
Minimum Deposit
$50
Exclusive Promotion
User Score
5
First transaction fee free
24/7 customer service
Instant payouts

Your capital is at risk when using the above platforms

Key Takeaways

  • Buyers can get Shiba Inu from global exchanges, Decentralised exchanges, and brokers.

  • Crypto providers will need you to open accounts and complete KYC verification before purchasing SHIB tokens.

  • Shiba Inu prices are highly volatile, and we advise caution before investing.

  • eToro and Coinbase provide the best platform for beginners to acquire SHIB

  • Regulations demand that you pay taxes on any profit from the sale of SHIB.

What Options Do I Have When Buying Shiba Inu In the USA?

There are different ways to get your hands on SHIB tokens. However, your options may be limited depending on your state regulations. Let’s discuss plausible possibilities.

Brokers

Traditionally, brokers offered assets ranging from stocks to gold. With the rise of crypto as alternative investment options, many brokers have diversified into cryptocurrencies. You can buy, sell, trade, and hold crypto, including mainstream crypto like Bitcoin and meme coins such as SHIB.

Brokers hold an advantage over other crypto platforms due to diverse trading options like Contract for differences(CFDs), Spread betting, copy trading, and futures. eToro and Coinbase are popular crypto brokers.

Global Exchanges

Centralized exchanges are the primary method investors utilize to buy SHIB. These are custodial platforms where you can buy and sell crypto. Some have gone further to include trading services such as margins and futures.

Global exchanges operate across a majority of the countries globally. Some popular examples include Binance, Coinbase, CEX, and Paybis. Please note that New York and Washington residents have limited options due to regulations.

Local Exchanges

These exchanges have licenses to operate within the US alone. Like global exchanges, local exchanges also provide the option to buy, sell, and hold cryptos. Good examples are Binance US and FTX US, offshoots of the global versions.

Decentralized Exchanges (DEXs)

These are non-custodial platforms where investors can buy and sell SHIB. They facilitate peer-to-peer transactions without the need for a central authority controlling the funds and cryptos.

The Shiba Inu website recommends buying the tokens from Shibaswap, an in-house DEX platform. Uniswap and Sushi are also options to get SHIB.

How To Buy Shiba Inu In the USA?

This section provides a step-by-step guide to buying Shiba Inu in the USA. Let’s look at how you can purchase SHIB tokens on eToro.

Step 1: Visit the official eToro website and create an account.
Step 2: Fund your account
Step 3: Open a trade
Step 4: Review the purchase

Where To Buy Shiba Inu In the USA?

Buyers in the US can use exchanges, brokers, and decentralized exchanges. Let’s look at and compare beginner-friendly and intermediate platforms where you can purchase SHIB.

Coinbase

Coinbase is a leading crypto platform listed on the US stock exchange. It provides a simple and intuitive interface to make it easy to purchase SHIB.

Key features

  • Supports over 100 cryptocurrencies, including Bitcoin, Ethereum, and Dogecoin.

  • A variety of payment options.

  • Diversified liquidity.

  • Coinbase Pro is available for advanced trading.

  • A wide variety of crypto to crypto trading pairs.

Pros

Support for instant purchase of crypto using debit and credit card
Available in a majority of US states
Simple to use mobile app for IOS and Android
Beginner-friendly interface
Various payment options are available
A wide variety of cryptos and crypto trading pairs

Cons

Relatively higher fees
Poor customer support

eToro

eToro is an online brokerage platform that is popular for its “social trading” feature. Apart from cryptocurrencies, investors can also trade stocks and Forex on the platform.

Key features

  • Copy-trading

  • A variety of payment methods, including Paypal

  • Advanced charting features

  • Easy to use interface

  • Android and IOS apps for mobile

Pros

Match trade moves from the top traders
Regulated in the US by the SEC and FINRA
Low fees and zero commissions
Multi-asset platform
Excellent customer support
Easy to use trading interface

Cons

The platform is not available in some states, including Nevada and Hawaii
Other asset classes like stocks and Forex are not available to US residents
A limited number of cryptocurrencies

Binance US

The platform is an offshoot of Binance, the leading crypto exchange in the world. The platform is renowned for its low trading fees, although it is more suitable for intermediate users.

Key features

  • A variety of crypto selection

  • Fast trade execution

  • High liquidity

Pros

Low fees
More than 60 cryptos are available
Low account minimum requirements
Good reputation

Cons

Not available in seven US states
History of regulatory scrutiny
Limited customer support
Limited features compared to Binance
Lengthy KYC processes

CEX.io

CEX is a renowned crypto exchange that provides different products and services. Buyers can purchase Bitcoin, SHIB, and other cryptos.

Key features

  • High liquidity

  • Crypto staking

  • Crypto lending

  • Margin trading

  • CEX.io wallet for trading and portfolio management

  • Over 80 cryptocurrencies on offer

Pros

Simple and intuitive user interface
Many trading pairs are available
Margin trading
Crypto staking for passive income earning

Cons

Lengthy verification process
Different verification levels with limits on deposits for basic level verification

eToro vs. Coinbase

Despite offering a variety of asset classes, these two are some of the more standout crypto brokers in the US. Both platforms provide the SHIB/USD pair where buyers get SHIB tokens in exchange for USD. Beginners can use both platforms since they appeal to their simplicity and intuitive user interface.

eToro has the edge over Coinbase in terms of fees. They are offered as a percentage, with commission-free trading. Other unique features on eToro absent on Coinbase are the copy trading feature and a demo account.

Coinbase is suitable for beginners and intermediate traders. Processes are simple, and there are various payment methods, including credit cards for US residents.

CEX vs. Binance US

These are some of the top crypto exchanges in the world. Both platforms cater to both beginners and advanced traders. These platforms offer advanced trading features like margin trading, staking, and crypto-backed loans.

Binance US offers lower fees compared to CEX. Both platforms offer a variety of SHIB pairs, including SHIBUSD and SHIBUSDT.

What are the Regulations and Taxes When Buying Shiba Inu In the USA?

By design, many cryptocurrencies are decentralized. However, the US government seeks to bring regulations to the crypto industry to stem money laundering, tax evasion and introduce other crypto investment options.

Crypto exchanges are regulated at the federal and state level. Each state has its own set of laws, which is why residents of states like Hawaii may find it challenging to buy SHIB tokens on most exchanges.

Taxes apply on cryptos as the IRS considers digital assets as property. Buying SHIB is not taxed; however, you’ll need to pay capital gain taxes on any profits you make after selling your tokens.

Short-term gain tax is paid on profits for SHIB sold within one year. The tax rate ranges from 10% to 37%. For SHIB tokens sold after being held for over a year, you’ll be liable to a long-term capital gain tax that ranges from 0%, 15%, or 20%, depending on the income.

Other Considerations When Buying Shiba Inu In the USA

Before purchasing SHIB, there are several factors you’ll have to consider. Most beginners and retail investors will buy specific crypto for the fear of missing out. Crypto investment is risky due to the volatile nature of these assets; therefore, consider the following:

  • Volatility- Unlike other asset classes, cryptocurrencies are incredibly volatile. Prices typically move depending on several factors, including market sentiments and news.

Shiba Inu certainly makes the top 10 most volatile cryptocurrencies. Due to its vibrant community, extremely low prices, and external influence from celebrities like Elon Musk, the price of SHIB fluctuates significantly.
  • Security- You’ll need to find a secure platform or wallet where you can store your tokens. For long-term holders, we recommend cold wallets which are tamper-proof. Secure your exchange account with 2FA for additional security.

  • Use cases- Shiba Inu is a meme coin that evolved into a vibrant ecosystem. It is currently used as a medium of payment. The developers are looking to increase the use cases going into the future to make SHIB more appealing. Additionally, SHIB is an ERC token running on the Ethereum blockchain, meaning it could utilize smart contract technology.

  • Fees- Fees are an essential part of any crypto investment. There are crypto platforms that offer lower fees which means you’ll get value for money.

  • External factors- The price of Shiba Inu has been dramatically affected by tweets and listing on exchanges. Investors can anticipate news concerning SHIB before purchasing.

Pros & Cons of Buying Shiba Inu in the USA

Pros

Many available brokers to buy Shiba Inu in the USA
One of the most popular meme-coins of 2021

Cons

Shiba Inu price is very volatile
Shiba Inu price could be high due to Dogecoin hype

What Payment Methods Can I Use To Buy Shiba Inu In the USA?

There are multiple payment methods you can use to purchase SHIB tokens. Most exchanges will accept buying SHIB tokens for other cryptocurrencies like Bitcoin, Tether, and Binance USD. Others will accept fiat currencies ranging from USD to EUR.

Here are some of the payment methods you can use in the US on the exchanges and brokers we’ve listed above:

Cryptocurrencies

You can transfer crypto like Ethereum or Tether and use that to buy SHIB tokens. Popular crypto pairs are SHIB/USDT and SHIB/BUSD. You can get such crypto pairs on Binance US.

Pros

Wide adoption
Lower fees

Cons

Complex for beginners

e-Wallets

Paypal, Neteller, and Skrill are digital payment wallets available for funding on different crypto platforms. These e-wallets allow buyers to deposit fiat currencies. eToro provides these options for funding accounts.

Pros

Easy to use
Easy to open e-Wallet accounts

Cons

Limited adoption
Relatively higher fees

Bank transfers

Available across all crypto providers. ACH bank transfers are integrated on most exchanges for direct bank transfers in the USA. eToro, Binance, and Coinbase all provide bank transfers as a funding option.

Pros

Widely adopted across many exchanges
Lower fees Simple to use

Cons

It may take longer before funding reflects on your account.

Debit cards

Cardholders will need to have money in their accounts. Visa and Mastercard are accepted on a majority of exchanges. eToro and Coinbase accept debit cards as a funding method.

Pros

Fast deposits
Secure for cards with 3D secure
Overdraft on most debit cards
Easy to use

Cons

Expensive
High-interest rate on the overdraft facility

Credit cards

Clients are provided with a line of credit by banks, which they can use to purchase SHIB tokens. Coinbase and eToro support credit cards.

Pros

Fast deposits
Widely adopted
Easy to use

Cons

High fees
High-interest rates

How To Store Coins

After buying SHIB, you’ll need to store your tokens securely. Two options are available in the form of hot and cold wallets.

Hot wallets

These are digital wallets that operate online. Hot wallets are categorized as desktop, web, and mobile wallets. They are susceptible to attacks because they operate online. A majority are free to download, while some require you to pay a small amount. However, they make it easy to send and spend crypto.

Since Shiba Inu is an ERC-20 crypto, you can use an Ethereum-based wallet to store your SHIB tokens. Examples include MyEthereumWallet and Metamask.

Cold wallets

Cold wallets store your crypto assets offline, making them hard to access. It is best to store significant amounts of SHIB tokens on cold wallets. On the downside, you’ll have to pay for a hardware wallet. Good examples of cold wallets are Trezor and Ledger.

Final Thoughts

Shiba Inu rose to prominence in 2021 after significant price actions. This saw buyers in the USA try to get a piece of the action. Despite being a meme coin, many crypto platforms have listed SHIB. Buyers have various options, including well-known platforms like Coinbase and eToro.

Different payment options are available on various exchanges. You can buy SHIB using Paypal, bank transfers, cryptos, debit, and credit cards. Storage is also an essential factor. Move your tokens from an exchange into a crypto wallet for safe storage.

We have listed several providers for you to choose from. These are reputable and highly liquid crypto platforms that will instantly fulfill your orders. eToro has a variety of payment options, ease of use, and simple way to buy SHIB in millions.

FAQs

Do I need to pay tax on profits in the USA?
Can I buy Shiba Inu without an ID in the USA?
Is there a legal requirement to buy crypto in the US?
Danny Maiorca

Danny Maiorca

Danny is a freelance writer specialising in technology and finance. Prior to working for himself, he spent several years working within those sectors in London. Since then, Danny has relocated to Denmark.