1. Proposal for SHIB as Ethereum Gas Token: A prominent Shiba Inu community member recently proposed using SHIB as a gas token on Ethereum, aiming to increase its value to $0.01. The plan involves integrating SHIB alongside ETH with an automatic burn mechanism, which would reduce SHIBâs supply, potentially enhancing its scarcity and market value.
2. Comparison to Solanaâs Model: The proponent, Lola, drew parallels with Solanaâs transaction fee model, where 50% of fees are burned, contributing to SOL's price appreciation. She suggested a similar dual-token economy on Ethereum, where SHIB is involved in gas fees, could lead to a significant reduction in SHIBâs circulating supply, supporting price growth.
3. Community Skepticism: While some find the idea intriguing, others are skeptical. They argue that it may be more effective to focus on direct burn mechanisms for SHIB rather than pursuing structural changes to Ethereum. There is concern over Ethereum's flexibility to adopt a dual-token model without impacting its stability.
4. Technical and Regulatory Challenges: Experts highlight potential technical and regulatory hurdles with SHIBâs integration as a gas token on Ethereum. Shiba Inuâs marketing specialist, Lucie, previously addressed similar suggestions, noting that Ethereumâs Proof of Stake (PoS) system is built around ETH as the sole gas token. She indicated that integrating SHIB would require substantial alterations to Ethereumâs infrastructure, which could be costly and disruptive.
5. Focus on Shibariumâs Capabilities: Given the challenges with altering Ethereumâs framework, some community members suggest focusing on Shibarium, Shiba Inuâs Layer 2 solution. Shibarium includes a burn mechanism in its transaction process, gradually reducing SHIBâs circulating supply and offering a practical way to increase SHIBâs scarcity without changing Ethereumâs structure.
6. Shibariumâs Progress in 2023: Shibariumâs transaction activity surged last year, leading to an increase in SHIBâs burn rate. Many believe that higher transaction volumes on Shibarium may offer a realistic path to achieving SHIBâs price goals without the complexities associated with modifying Ethereum.
7. Disclaimer: This information aims to provide insights for readers. It is advised to conduct independent research and invest responsibly, as all buying, selling, and investment activities in crypto assets remain at the readerâs discretion.