The Shiba Inu-backed network, Shibarium, has faced another disruption in block production due to technical hitches. As the developers try to address the glitches and retrieve trapped crypto assets, major holders, known as “whales,” are rapidly selling off their SHIB, BONE, and LEASH holdings.
Shibarium Halts Producing Blocks Again
Today, the Ethereum-derived layer-2 Shibarium network initially resumed its operations but then suddenly ceased block production. The most recent transaction recorded on the Shibarium platform took place at 5:42 AM UTC on August 17.
Concerns are arising within the cryptocurrency community, drawing parallels between the issues faced by the Shibarium Mainnet and the problems that emerged post the launch of its testnet. Doubts regarding the blockchain’s robustness, security, and scalability have been voiced.
Beosin, a renowned blockchain security agency, suggests that users avoid Shibarium for the time being, especially as assets amounting to around $1.7 million in ETH are jammed in the bridge. While efforts to resolve the challenges are underway, there are murmurs that the stuck Ethereum might be irretrievable and that Shib Mainnet RPC isn’t working properly.
🚨Transactions on #Shibarium are stuck in a pending state.
$1.7M are currently locked on ETH.
— Beosin Alert (@BeosinAlert) August 17, 2023
Large Holders Selling SHIB, BONE, LEASH Tokens
Earlier, reports have shown that whales and traders will sell Shiba Inu ecosystem tokens. Verified data indicates a spike in such large holder activity, notably for SHIB, BONE, and LEASH tokens, leading to a dramatic dip in their values following the Shibarium mainnet’s roll-out.
According to Lookonchain, a whale offloaded all its BONE and SHIB assets, converting them into a staggering 1.07 trillion PEPE coins valued in the millions. This holder shifted a massive 143 billion SHIB tokens to Binance right after the Shibarium block production pause.
Spot On Chain also brought to light that another whale settled his BONE transactions just ahead of the Shibarium introduction, racking up a handsome profit of $866k. This holder has now completely exited his BONE position.
🚨 #Shibarium encountered issue just 2 hrs after its launch on Aug 16, 10 PM UTC ~7hrs ago.
— Spot On Chain (@spotonchain) August 17, 2023
In terms of pricing, SHIB’s value has plummeted by 9% in the last day, currently hovering around $0.0000091. The day saw it fluctuate between $0.0000090 and $0.0000099. Concurrently, both BONE and LEASH have taken a 20% hit. BONE is trading at about $1.32, while LEASH is priced at around $449.