❓What is Shibarium?
Shibarium is a layer-2 blockchain created for the Shiba Inu cryptocurrency ecosystem. Its main purpose is to improve transaction speed, reduce costs, and enhance the efficiency of the Shiba Inu network.
Shibarium processes transactions off-chain and submits them to the Ethereum blockchain for final settlement, ensuring security while reducing the load on Ethereum.
Key Features of Shibarium:
1. Primary Token:
The network uses Bone ShibaSwap (BONE) as its gas token for transaction fees. BONE also serves as the governance token for decision-making within the Shiba Inu ecosystem.
2. Shib Burning🔥 Mechanism:
A unique feature of Shibarium is its SHIB-burning system. For every transaction processed, a portion of SHIB tokens is permanently removed from circulation, reducing the total supply. This deflationary model aims to increase the value of SHIB over time.
3. Ecosystem Support:
Shibarium boosts the performance of Shiba Inu-related projects, including NFTs, blockchain games, and metaverse applications. This creates more utility for the Shiba Inu ecosystem.
4. Efficient Transaction Processing:
By bundling transactions and handling them off-chain, Shibarium significantly reduces the load on Ethereum. Transactions are then verified and recorded on Ethereum, maintaining security while achieving lower costs and faster speeds.
Performance Since Launch:
Initial Growth: Within one month of launch, Shibarium surpassed 1 million addresses and processed over 600 million transactions.
Ongoing Adoption: By November 2024, the number of accounts on Shibarium crossed 200,000, demonstrating strong growth over time.
✨How Shibarium positively impacts Shiba Inu (SHIB) in several ways:
1. Lower Transaction Costs: Shibarium reduces gas fees for transactions, making it cheaper to trade and use SHIB within its ecosystem.
2. Increased Utility: Shibarium supports decentralized apps (dApps), games, and other blockchain projects, which can increase demand for SHIB as it becomes more integrated into these use cases.
3. Burn Mechanism: Shibarium includes a system to burn (permanently remove) SHIB tokens during transactions, reducing the overall supply over time. This scarcity could help increase the token’s value.
4. Ecosystem Growth: By enabling faster and cheaper transactions, Shibarium encourages more developers to build on the platform, attracting new users and boosting SHIB's adoption.
Overall, Shibarium enhances SHIB's long-term value and utility within its ecosystem.