The Shiba Inu ecosystem witnessed alarming SHIB token burns over the past 24 hours. The Shiba Inu community sent over 814 million SHIB tokens to the dead wallets within the past 24 hours. This is part of its strategy to check the SHIB token supply.
According to an update by Shibburn, the token burn took place in seven consecutive transactions, making up 814,901,863 SHIB tokens. This burn rate spike comes about two weeks after the PuppyNet Shibarium testnet release by lead Shiba Inu developer Shytoshi Kusama.
Massive SHIB Tokens Eliminated From Circulation Following Shibarium Testnet Launch
The Shiba Inu community has been experiencing an increased burn rate following the Shibarium testnet launch a few weeks back. The Shiba Inu ecosystem has recorded over 10,000% burn rate spike since the testnet launch.
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According to data on the SHIB burn tracker, Shibburn, over 802,428,808 SHIB tokens have been burned in the last 24 hours. That makes a 2,080.00% spike in burn rate. Recent reports noted that the largest burn transaction came from Koyo (KOY), a community-inspired token that started on March 10.
KOY’s launch triggered the burning of 794,858,822 SHIB tokens through the official SHIB Burn Portal on March 27, according to Shibburn’s update. The transaction details on Shibburn.com shows that the 794,858,822 SHIB tokens went into the dead wallets in a single transaction at 1:05 PM UTC on March 27.
KoyArmy founder said the token burn is just the tip of the iceberg as the community would soon witness accelerated burn rates in the coming days. Not up to 24 hours after the 794.85 Million SHIB burn, another 802.43 million tokens went into the dead wallets.
That wasn’t the first burn transaction inspired by Koyo over the past seven days. On March 21, 733,024,321 million SHIB tokens went into the burn wallet courtesy of Koyo. Cumulatively, Koyo has removed over 6.15 billion SHIB from circulation through multiple transactions via a 2% sell tax.
A recent burn transaction from March 26 saw 830.38 million SHIB tokens removed from circulation, spiking burn rates by 61,765.36% within 24 hours. In addition, the Shiba Inu community destroyed 834,804,461 (834.80M) million SHIB tokens in 82 transactions over the past seven days.
Shibarium To Inspire More Burn Rate Spike
Besides the community-inspired burn activities, SHIB developers seek solutions to reduce the massive Shiba Inu circulating supply. A recently released Shibarium document by the SHIB developer team revealed how Shibarium would reduce transaction costs while facilitating the automatic burning of SHIB tokens.
In detail, the document noted that 70% of the transaction fee would go into the re-purchase and burning of Shiba Inu tokens. This mechanism will effectively reduce the supply and the same time, increase the value of SHIB tokens.
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The remaining 30% of the base fee will remain for network maintenance and to cater to operational costs, ensuring optimum network runtime. However, the document also stated that the fee structure is subject to change as the Shiba Inu network evolves.
Featured image from Pexels and chart from TradingView
