Shiba Inu, one of the leading memecoins saw a marginal increase in price following a recent significant burn activity carried out by the community. In the last 24 hours, SHIB holders collectively burned over 11 million coins by sending them to unspendable wallets. Consequently, the burn rate increased by several hundred percent, igniting hopes of a future rally.
Following the update, the Shiba Inu community expressed excitement on social media as they continue to work together to drastically reduce the amount of Shiba Inu coins in circulation.
SHIB Burn Rate Jumps 340%
According to fresh data from Shibburn, a dedicated Shiba Inu burn tracking service, the SHIB burn rate skyrocketed 340.27% after exactly 11,080,178 SHIB tokens were removed from circulation. These amount of coins were destroyed across seven transactions. The most significant one, burning 10,007,448 tokens, happened about 9 hours ago from the time of writing.
The remaining six transactions removed 258,204, 164,524, 250,000, 250,000, 150,000, and 45,839 respectively. Even though the volume of the recently burned tokens is tiny when removed from the circulating supply, the consistency in the activity reflects the dedication of community members to increase the value of their favorite coin.
Source: Shibburn
Moreover, the Shiba Inu community has successfully removed 410.7 trillion SHIB tokens from circulation, leaving 583 trillion remaining. Generally, the idea behind burning tokens is to potentially increase the value of the asset by creating scarcity as demand overtakes supply.
Shibarium Transactions Decline
Meanwhile, activities on Shibarium, the Shiba Inu layer-2 blockchain solution have maintained a decline over the last month. After increasing significantly to 28,600 transactions on August 20, the total daily transaction as of the time of writing was 3,810.
It is important to note that the transactions on Shibarium have a direct impact on the SHIB token burn. Part of the gas fees paid on Shibarium in BONE go directly to burning after they have been converted to SHIB.
Recall that in November and December 2023, and in January 2024, the Shiba Inu team burned billions of tokens following the update on the layer 2 blockchain.
The price of SHIB showcased a notable uptick following the burn update. According to data from CoinMarketCap, SHIB increased by 1.46% at press time to trade at $0.00001359. However, the trading volume over the last day dropped by 6.46% to rest at $127.3 million.
Source: CoinMarketCap
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