Shiba Inu, a meme-inspired cryptocurrency, has been making headlines recently due to its dramatic increase in burn rate. According to reports, Koyo, a decentralized autonomous organization (DAO) responsible for managing the Shiba Inu ecosystem, burned 1.49 billion SHIB tokens, resulting in a 30,000% increase in the coin’s burn rate.
Read Also: Ripple Defendants File Their Response To The SEC’s Letter Of Supplemental Authority. See How
Koyo Token Burns 1.49 Billion SHIB
Supporting @KoyoToken is to support @Shibtoken
1.49Billion $SHIB just burned by $KOY smart contract https://t.co/KIiUb814LE
8.75Billion $SHIB burned by #Koyotoken in 36 days https://t.co/ZsQAtAz8xP
Join #KoyArmy https://t.co/M41yNIcxdq journey to the Billion-Dollar Market Cap pic.twitter.com/bpO9ggwIgb
— Tezza Decentra (@Tezza4Ryoshi) April 14, 2023
The news was shared on Twitter by a user, and the Shibburn.com website, which tracks the burn rate of SHIB tokens, confirmed the burn. The move is part of Koyo’s efforts to reduce the total supply of SHIB tokens in circulation, which currently stands at around 394 trillion tokens.
The burn was carried out by transferring the tokens to a “dead” wallet address, effectively removing them from circulation and reducing the total supply of SHIB tokens. The burn is expected to have a positive impact on the value of SHIB tokens, as reducing the supply of a cryptocurrency can increase its scarcity and drive up demand.
Shiba Inu has gained a large following in recent months, thanks in part to its association with the popular Dogecoin cryptocurrency. Like Dogecoin, Shiba Inu is a meme-inspired cryptocurrency that has gained a cult following among crypto enthusiasts and investors. The coin has seen a surge in popularity and value in recent months, with its market capitalization reaching over $10 billion at one point.
Read Also: What is Stellar Lumens (XLM)?
The burn of 1.49 billion SHIB tokens represents a significant reduction in the total supply of the cryptocurrency and could have a significant impact on its value going forward. However, some experts caution that the long-term viability of meme-inspired cryptocurrencies like Shiba Inu remains uncertain, and investors should exercise caution when investing in such assets.
Despite the risks, the popularity of Shiba Inu and other meme-inspired cryptocurrencies shows no signs of slowing down, and the burn of 1.49 billion SHIB tokens is likely to be viewed as a positive development by many of the coin’s supporters.
Shytoshi Kusama Says There More SHIB Movement
However, Shytoshi Kusama recently expressed his views on the connection between Shiba Inu price and burns in a recent telegram chat. As per the SHIB lead, Shytoshi Kusama, the price of Shiba Inu cannot be moved only based on burns. For this reason, the Shiba Inu team has been working on introducing new technologies and utilities for SHIB to increase its adoption. Only in this way can the Shiba Inu prices see a significant rise that everyone wants.