Shiba Inu Coin Burn Rate Increases 1068%, 51.76 Million Tokens Removed

The Shiba Inu coin (#SHIB) has garnered renewed investor interest due to a significant increase in its burn rate, which surged by 1068%. This reduction in circulating supply has led to speculation that the coin's value could potentially double soon.

According to Shibburn, 51.76 million SHIB tokens were sent to null addresses within one day, permanently removing them from circulation. Over the past week, more than 2.44 billion tokens have been burned, reducing Shiba Inu’s total supply to 589.25 trillion SHIB.

The burn mechanism is crucial for enhancing token value by decreasing supply, thereby increasing scarcity and potentially driving prices upward. The Shiba Inu team has implemented this strategy to encourage sustainable growth and attract long-term investors.

Additionally, Shiba Inu’s layer 2 network, Shibarium, has experienced substantial adoption with over 2 million wallet addresses created since its launch 16 months ago, indicating growing confidence in the platform.

This development follows an announcement from Shiba Inu’s marketing lead, Lucie, regarding an upcoming upgrade focused on the Shiboshis NFTs on the Shibarium blockchain.

Future Prospects for Shiba Inu (SHIB) Price

Despite these developments, SHIB’s price has decreased by 9% in the last 24 hours, currently trading at $0.00002726. Nonetheless, it remains the second-largest meme coin by market capitalization at $16.06 billion, trailing Dogecoin, which has a market cap of $60.8 billion.

Shiba Inu’s lead developer, Shytoshi Kusama, hinted at the launch of a new dog-themed meme coin called SHIFU, developed by the same team behind SHIB. Investor Lark Davis referred to SHIFU as a “legitimate” meme coin, suggesting confidence in the project’s potential.

While SHIB is currently 69% below its all-time high of $0.00008845 achieved in October 2021, it has increased by 172% over the past year, with its market cap tripling during this period, demonstrating resilience and growth potential.

With the accelerating burn rate and the traction gained by Shibarium, analysts believe Shiba Inu may be ready for another rally. The total market cap of meme coins currently stands at $120.4 billion.