Shiba Inu (SHIB): how memcoin is turning into a serious player in the crypto market
Expansion of the Shiba Inu ecosystem
In 2024, the Shiba Inu team took significant steps to expand its ecosystem, focusing on improving scalability, reducing transaction costs, and strengthening its position in decentralized finance (DeFi).
A critical development has been introducing a Layer 2 solution, Shibarium L2. This solution aims to increase network scalability and reduce transaction costs associated with using Ethereum. Shibarium L2 is the backbone of the Shiba Inu ecosystem, supporting various components such as the WOOFVertise advertising platform and the ShibaSwap decentralized exchange (DEX) and providing a more efficient and secure user environment.
In addition to Shibarium, ShibaHub has also been developed, which is a universal application that integrates various services such as trading, stacking, and interacting with the metaverse on a single platform. This solution aims to enhance the convenience and efficiency of users' interactions with the Shiba Inu ecosystem.
Shiba Inu ecosystem has been developed to enhance security and privacy:
- Shibidentity: a digital identity solution to securely manage user identities in the Shiba Inu ecosystem.
- SHY Mode: a feature that utilizes fully homomorphic encryption (FHE) to enable private transactions without data decryption.
Ultimately, these efforts aim to achieve a single but ambitious goal of raising the value of the SHIB token to $0.011.
Burning SHIB in 2024
In May, the Shiba Inu (SHIB) memcoin 2024 showed a significant increase in the token burn rate. According to U.Today, more than 200 million SHIB tokens were destroyed in a week, resulting in a 338% increase in the burn rate. This process has sparked lively discussions in the crypto community and has drawn attention to both the token-burning strategy and the impact of this mechanism on the market value of SHIBs.
In early November 2024, the SHIB token burn rate increased by 253 000%, destroying over 5.5 billion tokens. Analysts believe this reduction in supply may contribute to the SHIB price in the future.
Shiba Eternity game launch
In September 2024, the Shiba Inu team launched the beta version of Shiba Eternity, a game based on the Web3 concept. Shiba Eternity, launched in October 2022, was initially introduced as a collectible card game. The game now operates on the Shibarium network, allowing players to own in-game assets as NFTs. This transition provides actual ownership of digital assets and promotes a player-driven economy.
The updated version of Shiba Eternity includes several improvements
- Ranked Mode: Players can compete in 15-day tournaments, earning rewards based on their ranking. The top 25 players receive invitations to elite tournaments with exclusive seasonal events.
- NFT Inventory: All in-game cards are now represented as NFTs, allowing players to own, trade, and sell their collections on the Shib Marketplace.
The launch of the Web3-based Shiba Eternity beta strengthens the SHIB ecosystem by giving users new ways to interact with the project. The integration with Shibarium and the use of NFT contribute to increased transactions on the network, increase demand for BONE and SHIB tokens, and incentivize SHIB burning, which positively impacts the token's value.
Increase in the number of new addresses
According to IntoTheBlock, the second half of 2024 saw a significant increase in the number of new Shiba Inu addresses. At the beginning of 2024, the average daily growth of new addresses on the Shiba Inu network was around 1 000. However, between March 1 and March 7, 2024, this increased to more than 8 400 new addresses per day and, at its peak, reached 21,000 new addresses daily, nearly 20 times the average since the beginning of the year.
Following the token burn announcement in May, the number of active addresses interacting with SHIB increased by 15% within a month. While the monthly average number of active addresses was around 150 000 in April 2024, this figure rose to 172 500 in May.
This increase in new addresses underscores new investors' growing interest in Shiba Inu.
Applications to launch SHIB-based ETFs
In November 2024, the Shiba Inu community initiated a petition on the Change.org platform, urging investment firm Grayscale Investments to consider launching an ETF based on the SHIB token, similar to the Bitcoin-ETF and Ethereum-ETF.
The community's initiative in creating the petition and the attention it has received from investment firms indicates the recognition of SHIB in institutional circles. While Grayscale has not announced plans to launch a SHIB-based ETF, community activism and growing investor interest may encourage the company to consider such a product.
Potentially, a SHIB-ETF would allow investors to include memcoin in their portfolios without the need for direct ownership of digital assets, reducing technical and regulatory barriers.
In conclusion, the second half of 2024 has been a period of genuinely significant achievements for Shiba Inu. Cryptocurrency continues to evolve, offering new opportunities for its users and strengthening its position in digital finance.