In a post on X, Lucie, the marketing officer of the Shiba Inu ecosystem, shared a quote from the recently published SHIB paper, highlighting the project’s commitment to SHIB as its core token.
While the paper acknowledges that the circulating supply of SHIB will decrease due to the implementation of the deflationary mechanism through the Shibarium Layer 2 solution, it does not guarantee an increase in its value.
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Lucie noted, “This token’s deflationary nature, alongside the perpetual nature of this system does not ensure it’s value will increase, but does ensure it’s circulation will decrease.”
$SHIB IS, AND ALWAYS WILL BE, OUR
COREOur heartbeat, our collective rhythm, resonates in one token:$SHIB .
With thousands of retailers worldwide that accept Shib, and it's current top 15 rank, while being up 15 MILLION percent as of the drafting of this charter in it's… pic.twitter.com/m0NfV2cTP3
— 𝐋𝐔𝐂𝐈𝐄 | Summer of Shibarium (@LucieSHIB) August 30, 2023
Solidifying SHIB as a Currency
According to the SHIB paper, SHIB is on its way to being recognized as one of the most significant currencies in history, as it gains acceptance among thousands of retailers worldwide and secures its position as the 15th largest cryptocurrency by market capitalization.
The document emphasizes the deflationary nature of the Shiba Inu token, projecting a decrease in supply through the burning of massive amounts of SHIB. The team plans to allocate part of the gas fees paid in BONE to convert into SHIB tokens and burn them, ultimately locking trillions of SHIB in inferno wallets forever.
Could This Ultimately Affect SHIB Price?
While theoretically, a significant reduction in circulating supply could lead to increased scarcity and a potential rise in price, the SHIB team does not provide any assurances that this will definitely happen.
Despite the deflationary mechanism in place, the correlation between supply reduction and price appreciation remains uncertain. Investors should be aware of the potential risks associated with investing in SHIB.
Read Also: 2 Trillion SHIB Flowed Out of Exchanges in Past Week. Bullish or Bearish For Shiba Inu? Details
Impressive Growth of Shibarium
Since its public relaunch earlier this week, Shibarium has experienced significant growth, impressing the SHIB community. Within the past 24 hours, various metrics have surged.
Shibariumscan.io, the Shibarium Explorer, reports a surge in daily transfers, with the total count of transactions standing at . In addition, the number of connected wallet addresses has also surged to .
According to Shibariumscan.io, Shibarium currently boasts a total of blocks, with an average block time is 5.1 seconds. The number of wallet addresses is 327,583. Meanwhile, Shiba Inu is currently trading at $0.000008160, reflecting a 1.29% price plummet in the last 24 hours, according to CoinMarketCap.
While the Shiba Inu team anticipates a decrease in the circulating supply of SHIB due to the implementation of the Shibarium Layer 2 solution, there is no guarantee of an increase in its value.
As the Shiba Inu community continues to burn tokens and Shibarium showcases impressive growth, there is no certainty of price growth. So, investors are urged to approach the market with caution and carefully evaluate the risks associated with SHIB investments.
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