Key Highlight
- Massive Burn Event: Nearly 1 billion SHIB tokens were burned, sending the burn rate soaring by 43,325% in just 24 hours.
- ShibTorch Upgrade: The burn was part of an upgrade to Shiba Inu’s ShibTorch portal, integrated on the Shibarium Layer-2 blockchain.
- Deflationary Pressure: The burn aims to create scarcity and potentially boost the long-term value of SHIB by reducing its circulating supply.
Shiba Inu, one of the most popular meme-based cryptocurrencies, has seen its burn rate explode by an astounding 43,325% after nearly a billion SHIB tokens were burned in a massive event. This significant action is part of the community-driven efforts to create a deflationary effect on the token, thus boosting its long-term market value.
The massive burn took place on Thursday, thanks to Kaal Dhairya, a key figure in the Shiba Inu ecosystem, who announced the milestone on X (formerly Twitter). The burn was part of an upgrade to Shiba Inu’s ShibTorch, a burn portal integrated into Shiba Inu’s Shibarium Layer-2 blockchain. Since its launch in August 2023, ShibTorch has allowed users to actively participate in burning SHIB tokens, contributing to the ongoing deflationary mechanics of the ecosystem. This particular burn was one of the largest to date, with the Shiba Inu burn rate surging to an unprecedented 43,325.59% in the span of just 24 hours.
The burn comes at a significant moment for the Shiba Inu community, as Shytoshi Kusama, the project’s lead ambassador, recently teased an “extremely powerful partnership” and the “biggest announcement” ever related to the Shiba Inu ecosystem. Many believe these events could signal important developments on the horizon for cryptocurrency.
As a result of the burn, Shiba Inu’s circulating supply continues to shrink, with nearly 410.744 trillion SHIB tokens now burned. This is not only expected to reduce inflationary pressure on SHIB, but it also helps increase the scarcity of the token, which could drive future demand. Moreover, transaction fees on the Shiba Inu Layer-2 blockchain (Shibarium) are partially directed toward burns, ensuring the ongoing reduction of the total supply.
In addition to the burn, there has been a noticeable increase in SHIB’s daily active addresses, with a rise of 1.15% in the last 24 hours. However, whale transactions saw a significant drop, signaling a shift in the dynamics of the token’s market behavior.
As SHIB continues to evolve and grow in the broader cryptocurrency landscape, this burn event is just the latest in a series of strategic moves designed to increase the token’s value and bolster its long-term sustainability.
