Shytoshi Kusama, Shiba Inu’s lead dev, recently teased a Shib burn that would see approximately $1.2 million worth of SHIB removed from circulation forever. Shiba Inu burns have been sporadic in the past few months, and members of the Shiba Inu community have been calling on the developers to burn more tokens to increase the value of SHIB through scarcity.
Burn Details: Where The Tokens Are Coming From
According to a hint from Kusama, the burn rate is poised to spike very soon. The hint from the community’s lead developer came as a reply to a social media post by SHIB enthusiast @randomartz3 asking for both BONE and SHIB burns from gas fees raised from previous Shibarium burns.
Shib burns on Shibarium have also increased in the past few weeks. Data from Shibburn reveals that the network now accounts for 50% of its utilization for the total daily SHIB burns. The meme coin’s burns on Shibarim are typically carried out using BONE as gas fees which have now accumulated to 1,367,845.42 BONE tokens worth approximately $1.2 million. These accumulated gas fees are to be converted to SHIB and then sent to a dead wallet, according to operations of burns on Shibarium.
The proposal from @randomartz3 was to use these accumulated gas fees to burn both SHIB and BONE, but Kusama disagrees, noting they are to be used to burn SHIB only.
No. Burn Shib. Period.
— Shytoshi Kusama
(@ShytoshiKusama) December 9, 2023
Over $1.2 Million Worth Of Shiba Inu To Be Burned
Although a timeline for the SHIB burn wasn’t mentioned, investors are anticipating the $1.2 million burn that would see over 100 billion SHIB tokens taken out of circulation. The longer the burn delay, the higher the amount of BONE tokens accumulated for SHIB burns on Shibarium.
On the other hand, data from Shibburn.com reveal that Shiba Inu burns have increased by 575.28% with over 150 million SHIB tokens burned in the past 24 hours. Although SHIB burns have increased exponentially in the past few days, Shiba Inu’s creator Ryoshi has been called out for refusing to burn 103 trillion SHIB in their possession.
Shibarium recently completed its first hard fork enabling support for multiple burn tokens, including BONE. Some members of the community propose using the accumulated BONE tokens for burning BONE. However, this would be illogical, considering BONE already has a low circulating supply and is used as gas fees on Shibarium. Burning BONE could artificially cause a huge price spike, leading to higher gas fees on Shibarium.
SHIB is trading at $0.00001016 at the time of writing, up by 19.56% in a 7-day timeframe.
Featured image from iStock
