Shiba Inu’s Burn Rate Hit A Blistering 1091% In 24 Hours

Shiba Inu saw a record-breaking 13 billion SHIB tokens being permanently moved into dead wallets in the last 24 hours. Data from Shibburn, which tracks all transactions of the meme coins showed that the burn rate reached a new high of 1091% on one occasion.

Apart from that, a mysterious Shiba Inu whale wallet has destroyed a whopping 10 billion SHIB tokens valued at nearly $124,300 at the time the transaction was initiated. It’s also worth noting that the massive SHIB burn only took the whale a single transaction.

In April, the team launched the burning mechanism that enabled holders to permanently destroy their tokens. Since that, tens of thousands of people have visited the Shiba Inu burn site, which is often regarded as the largest community-led burn from the time the initiative was introduced.

This is due to the fact, that in just 24 hours, more than 8 billion SHIB tokens had been torched. Tokens are burned so as to remove them permanently from circulation. Asset holders first transfer the coins to a burn address, i.e. a wallet from which they cannot be retrieved.

A burnt cryptocurrency decreases the circulating supply, making the tokens scarcer. A scarcity might lead to an increase in the price of the tokens, benefiting investors, though it is not always guaranteed. 

To calculate burns, three addresses are used: two dead wallets with no usable keys and tokens sent to the Genesis address [Black Hole], reducing the quantity of each of these coins by one.

Shiba Inu and Doge locked in a closed Twitter fight

However, SHIB’s burn attempts are yet to make an impact on the asset’s price movement. According to CMC, the Shiba Inu price is trading at $0.000012 and has been down by almost 3% in the last 24 hours.

Despite the token’s dull performance, the Shib community unaffected by the price continues to grow rapidly and has recently surged above 3,332,470 million followers on Twitter.

Its closest rival DOGE has so far managed to remain one step ahead but now it seems tables have turned as both the meme coins are locked in a close battle in terms of their followers count on the social media platform.

That said, SHIB recently acquired approximately 15,000 new wallet holders amidst the market-wide slump.

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Lipika Deka: Lipika is a crypto-journalist at TWJ. A graduate in economics and finance, she has a keen interest in the political and socio-economic facets of blockchain technology and the cryptocurrency industry.