Some people say the ink and toner on paper shreds can be toxic. I'm not sure if that's true or not. I do know that shredded paper does not control odor and moisture as well as pine. You would certainly need to make sure they don't get soaked with water or urine and grow mold. I don't know why there would be a problem using plain paper shreds as long as the chinchilla doesn't make a habit of eating them. Using pine chips is okay but only if they are kiln dried. That is my understanding of it.