Shiba Inu (SHIB), the cryptocurrency inspired by a caricature, has recently experienced a phenomenal increase in its combustion rate.
With an unprecedented 7000% increase, the waste rate indicates a rapid decrease in token supply. Within 24 hours, an astonishing 341,504,230 $SHIB tokens were destroyed, resulting in a 10% increase in the market capitalization of the cryptocurrency. SHIB’s current market capitalization of $4,811,489,983 reflects its increasing investor popularity.
Alongside the increase in burn rate, Shytoshi Kusama, the chief developer of Shiba Inu, has hinted at intriguing future developments for the digital currency. In a recent blog post, Kusama introduced Shibarium, an ongoing future endeavour. Shibarium seeks to introduce innovative features and improve the SHIB ecosystem’s functionality.
In addition, the blog post mentions the highly anticipated publication of the “Worldpaper,” a document that explores various aspects of the Shib ecosystem. The Worldpaper, unlike its antecedent the Woofpaper, emphasises the transformative potential of decentralisation.
Impact of Voyager’s Token Transfers and SEC Lawsuit
In the past few hours, the defunct cryptocurrency lender Voyager has made significant token transfers involving trillions of Shiba Inu (SHIB) tokens. Lookonchain, an on-chain analytics company, spotted these transfers and tweeted about them. The precise cause for these transfers is unknown; however, speculation implies they may be related to the resumption of customer withdrawals. During a specified time period, creditors will be able to withdraw approximately 35 percent of their cryptocurrency holdings.
Voyager is transferring tokens out from the hot wallet.
Seems to be related to reopening withdrawals to customers.
— Lookonchain (@lookonchain) June 20, 2023
Concurrently, the US Securities and Exchange Commission (SEC) lawsuit against Binance and its inventor, Changpeng Zhao, has affected the altcoin market. The SEC has accused Binance and Zhao, among other things, of securities fraud, exaggerating trading volume, and diverting customer funds. Due to this, altcoins and meme currencies, such as Shiba Inu (SHIB), have experienced a precipitous decline. Despite the initial fervour surrounding SHIB as the ‘Dogecoin Killer,’ the cryptocurrency’s price and profitability have declined significantly.
In light of these developments, there is optimism that the meme coin industry will recover. In its presale phase, Caged Beasts (BEASTS), a new meme token, represents an opportunity to restore the dignity of meme currencies. By instituting responsible tokenomics, fostering transparency, and showcasing real-world use cases, meme coins can regain investors’ trust, establish long-term viability in the evolving cryptocurrency industry, and attract new users.
In conclusion, the increase in Shiba Inu’s consumption rate and the anticipation surrounding future developments demonstrate the rising prominence of the cryptocurrency. In addition, the token transfers made by Voyager and the SEC’s lawsuit against Binance have affected the altcoin market as a whole. As the industry continues to evolve, it is essential to monitor the resilience and recovery of meme currencies in the face of regulatory challenges.
Disclaimer: These are the writer’s opinions and should not be considered investment advice. Readers should do their own research.