SHIB burns and renews bones, increasing the effectiveness of shibarium

The Shiba Inu (SHIB) community has seen a significant increase after a major shibarium renovation.

Shibber's data shows that SHIB's burn rate has increased by 150% due to a new Shibarium update that has reduced bridging time from seven days to 45 minutes. This massive improvement excited the community and resulted in a significant burnout.

Shibarium update includes SHIB Burns

According to Shiburn tracking, over 8 million tokens were removed from circulation and sent to non-cost wallets within 24 hours. One of the key contributors was wallet address 0xa9d1, which transferred 4.91 million SHIB to a dead wallet in two significant transactions within a few hours of each other. Initially, the holder burned 2 million SHIB coins. Later, the owner transferred another 2.91 million tokens to the dead wallet.

Burning is the process of permanently removing tokens from circulation. It can be done by actually reducing the total supply by sending it to an unpaid address. Burning creates scarcity, which can drive up token prices if demand is unstable or increases.

The latest Shiba Inu burn rate jump is related to the latest update. Previously, transferring tokens from Shibarium to Ethereum took up to seven days. The update has reduced this time to about 45 minutes, allowing users to manage assets faster and better adapt to market changes.

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The original seven-day waiting period aims to promote price stability by encouraging users to stay on Layer-2 for longer. However, this is no longer necessary. The team also pointed out that the new system uses a checkpoint system to issue tokens, which will result in faster processing of exit transactions.

“This reduction in bridge time is a game-changer – developing and deploying time-sensitive applications faster than ever before,” said the Shibarium team.

The Shiba swap, recently launched by Shibarium, is expected to further accelerate the rate of token burning. In addition, the project team raised $12 million in April to develop a new layer-3 blockchain. This fundraising effort has attracted contributions from prominent investors such as Polygon Ventures, Mechanism Capital and Animoka Brands.

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The recent Shibarium update has significantly accelerated the SHIB burn rate, indicating the community's efforts to increase the token's value due to supply cuts. Despite this, the immediate price impact on SHIB is minimal. According to BeCrypto, it is currently trading at $0,00002583, having lost 1,46% in the last 24 hours.