The Shiba Inu ecosystem has committed to several burn initiatives to reduce the massive supply of meme coins. With the support of its robust community and related inclusive technology, Shiba Inu has seen many token burns over the past months.
In a recent tweet, the team behind Shiba Inu disclosed an upcoming massive SHIB burn in the ecosystem.
Shiba Inu To Record A Massive Token Burn Soon
In an X post on March 8, the Shiba Inu marketing specialist, Lucie, revealed the team’s plans concerning the upcoming SHIB incineration. According to the post, the team has gathered 40 ETH, valued at $158,280 at current market prices, to facilitate the upcoming SHIB token burn.
🔥 $SHIB burns incoming!
40 ETH collected for the burn. Stay tuned! 👀
— 𝐋𝐔𝐂𝐈𝐄 | SHIB.IO 🧜🏼♀️ (@LucieSHIB) March 8, 2024
While Lucie’s post did not contain more information regarding the upcoming SHIB token burn, speculations point towards plans to ramp up Shibarium-powered burns.
Before now, the Shiba Inu team has been burning a massive number of SHIB coins on the L2 network Shibarium since December 2023 through a percentage of the network’s gas fees.
Since the launch of Shibarium, the team has incinerated up to 43 SHIB coins in five different burns. Further, the Shiba Inu official X account disclosed that the team had burnt SHIB coins worth almost 200 ETH.
The fifth burn on January 9 wiped off about 9.35 billion SHIB tokens from circulation.
However, the team has not conducted any more token burns after the fifth one, despite a massive upsurge in total transactions on the network. Some SHIB enthusiasts speculated that the halt could be because the team wants to deploy the Shibarium burn portal, which is still in the testing phase.
Once deployed, the auto-burn feature will automatically incinerate SHIB when the network meets certain conditions. One of the requirements for the auto-burning is that Shibarium must amass at least $25,000 worth of BONE.
Possible Number Of SHIB Tokens For Incineration
Though Lucie didn’t specify the exact amount of SHIB to be burned, her post indicated the possible number to expect in the upcoming destruction. She mentioned that the team already has 40 ETH, which will facilitate the SHIB burn.
At the current price of $3,957, 40 ETH coins are worth ~$ $158,280.
Since Shiba Inu trades at around $0.000035, if the team uses the entire 40 ETH to burn SHIB, by estimation, the value would be equivalent to about 4,522,285,714 coins. This would mean the incineration of approximately 4.52 billion SHIB tokens.
With a circulating supply of 589.29 trillion, the estimated amount for the burn is just a small portion. However, such continuous practice in the Shiba Inu ecosystem remains a good approach to sustaining its relevance.
Moreover, the meme coin has reflected impressive performance recently amid the price swings in the broader crypto market.
Shiba Inu has recorded an 8% increase in value over the past 24 hours, with a whopping 160% gain in the last week. Also, Shiba Inu is now the 10th cryptocurrency by market cap. If the token burn initiative holds as expected, chances are high that the price of SHIB could improve further.
Source : TechReport