• Shibarium is a layer two blockchain scaling solution that will result in the burning of Shiba Inu (SHIB) tokens after every transaction.
• SHIB has a circulating supply of 589 trillion units and a total supply that exceeds 900 trillion, with the burning mechanism likely to increase price appreciation.
• BONE, the governance token of the Shibaswap ecosystem, will be the only token used for gas fees within the Shibarium protocol.
Shibarium is one of the most anticipated projects in the Shiba Inu community, with many eager for the launch as it could be enough of a catalyst to pump their SHIB bags. Recently, the developers announced via a short thread on Twitter that every transaction on the Shibarium network would result in a burn of Shiba Inu (SHIB) token.
SHIB has a circulating supply of 589 trillion units and a total supply that exceeds 900 trillion. Its initial total supply was reduced with a recent burn and with the soon-to-be-introduced burning mechanism by Shibarium, SHIB’s price is likely to appreciate as the supply will be reduced. Though the amount of SHIB token that will be burned after each transaction has not been revealed, the burning mechanism is likely to be a good enough catalyst for not only the SHIB token but the Shibarium blockchain.
In its previous update, the Shibarium team cleared some false circulating speculations about the blockchain and what native token it will utilize. Shibarium developers noted that BONE will be the only token that would be used for gas fees and „No other tokens will be necessary to operate within the protocol.“
For context, BONE is a governance token of the Shibaswap ecosystem, allowing holders to participate in governance decisions and receive rewards. The token will be launched in February 2021, and Shibarium developers are reportedly working on integrating BONE into their blockchain.
The introduction of the burning mechanism and the integration of BONE into the Shibarium protocol could be a major boost for the SHIB token and the blockchain. Not only will the burning mechanism reduce the supply of SHIB tokens, but the integration of BONE could also increase the utility of SHIB. As a result, SHIB could see an increase in its price over time as demand for the token increases.
Additionally, the Shibarium protocol will also bring improvements to the scalability and speed of transactions on the blockchain. This could make the Shibarium blockchain more attractive to users and potentially attract new users who may not have considered using a Shiba Inu-based blockchain before.
Overall, the Shibarium project has the potential to be a major catalyst for the Shiba Inu community and the SHIB token. With the introduction of the burning mechanism and the integration of BONE, the SHIB token could see an increase in its price over time, while the Shibarium blockchain could become more attractive to users.