- Shibarium’s Part in SHIB Supply Decrease
- Community Concerns Over Burn Rate
- Shibarium and the Recent Progress
Ryoshi, the unknown creator of Shiba Inu, burnt the private keys, making the SHIB token supply immutable. Now the supply control relies on the community's efforts to burn tokens.
Shibarium’s Part in SHIB Supply Decrease
Shibarium is a key aspect of Shiba Inu’s plan to manage its large circulating supply. It provides a faster and cheaper way for users to perform transactions while burning SHIB tokens. As Shibarium expands, the demand for BONE, the transaction token of the network, will also grow. Furthermore, 70% of Shibarium’s base fees paid in BONE will be automatically converted to SHIB and burnt.
Community Concerns Over Burn Rate
Despite the automation of SHIB burns through Shibarium, the community has expressed concerns over the rate at which the token supply is decreasing. Investors have criticized the scale of current burn efforts. Lead developer Shytoshi Kusama addressed these concerns by stating that the team focuses on sustainable burn rates instead of short-term measures. The aim is to gradually but significantly reduce the supply to support stable growth.
Shibarium and the Recent Progress
Shibarium development is crucial to Shiba Inu’s plans to decrease token supply. Lucie, Shiba Inu's marketing lead, revealed that a significant number of BONE tokens locked in validators will soon be unlocked as knBONE on Shibarium. This event is expected to increase liquidity on the platform and open up new opportunities for developers and users. Lucie also highlighted the importance of creating staking pools for knBONE and integrating it with various use cases like NFTs, which would likely boost transaction volumes on the platform and result in more SHIB burns.
Shibarium plays a critical role in Shiba Inu's strategic plan to reduce the supply of SHIB tokens. Continuous updates and a focused development approach will help tackle challenges and ensure a stable token burn process for sustainable growth.
Comments