Since the tax rules were out, Shiba Inu in India has lost it’s charm and popularity
Cryptocurrencies with the dog meme’s face are now a major topic in the world of decentralization. Two of the most well-known memecoins Dogecoin as well as Shiba Inu have been the top investment choice for a large number of Indian crypto investors. While it was initially thought of as a joke expansion over a brief period of time, and its potential to become millionaires provided an advantage to the cryptocurrency. However, as the tax laws became real, Shiba Inu in India has lost its ground.
Dogecoin was launched in 2013 as a first doggy coin, based on the popular meme at the time. Since its inception, DOGE was maintaining a low profile until the year 2020. When Dogecoin gained popularity and memecoins began to emerge in the cryptocurrency space. Of them, Shiba Inu and became famous in the latter half of 2020. SHIB token became popular and valuable shortly after its introduction. Particularly, Shiba Inu in India has seen a significant increase in momentum in just a few months. When the cryptocurrency hit its highest level at the end of October Indian traders saw huge gains from its rise. Yet, SHIB is slowly losing its ground since Indian authorities have come up with taxation laws.
In February in February, In February of this year, Indian Finance Ministry announced that gains from cryptocurrency will be taxed at a rate of 30 percent. Although a lot was unclear at the moment, Indian investors seemed to be ecstatic. However, the Ministry came out with another blow two days later, stating that losses in one area cannot be offset against other. For those who believed that their tax liability could be assessed by the amount of their overall profit or loss comes as a major surprise. Because the majority of cryptocurrency are at a low and taxing the minimal gains isn’t a good idea for investors. However, even crypto enthusiasts are urging investors to take out the Shiba Inu investment before it is too late.
The growth of Shiba Inu in India
Incredibly, during the festivals the investment in Shiba Inu in India changed dramatically. Like Indians investing into gold, and various other precious items this year, they purchased SHIB tokens. In the year Diwali 2021 the Dogecoin competitor was on the seventh spot on the cryptocurrency market. It is remarkable that Shiba Inu was experiencing a major bull market in the period of time due an increase in the Change.org petition as well as FOMO.
When Shiba Inu was headed for Moon, the lunar eclipse brought several early investors along with it. People who bought $8,000 SHIB tokens were able to cash in on US$5.7 billion by the middle of October. A few others who were holding the Dogecoin killer made huge profits from their investment. In addition, the Dogecoin vs Shiba Inu battle in 2021 provided a significant boost to both cryptocurrency.
While Shiba Inu gained popularity in just a short time however, it remained in the wallets of investors over the long haul. Even after Shiba Inu as well as Dogecoin were unable to make it into the top 10 list of cryptocurrency, Indian investors still held an interest in the token. Due to its high fluctuation, many investors thought SHIB could add an additional boost to their investment portfolios.
However, their hopes were broken after the Indian government decided to treat crypto currencies as financial assets, as well as protect the small-scale investors. After the regulation on taxation of cryptocurrency was finally approved in February of the year that was to come into effect, Shiba Inu slowly started losing ground. Just a few days prior the finalization of regulations, the finance ministry also clarified that India cannot allow offsets in one cryptocurrency with profits from another. This announcement was made in a huge announcement to SHIB investors. With the Dogecoin competitor declining in value, compensating its decline with profits from other cryptos was an excellent alternative. However, since it isn’t available, experts believe that the value of SHIB will drop dramatically.