Popular meme-inspired cryptocurrency Shiba Inu ($SHIB) has been seeing the rate at which its tokes are being burned skyrocket after over 745 million tokens were burned in only 24 hours. The figure saw SHIB’s burn rate jump over 6,700%.
According to data from burning tracker ShibBurn, the amount of tokens burned over the last 24-hour period saw the meme-inspired cryptocurrency’s burn rate jump 6,700%
A large share of the token burn came from a Shiba Inu-related service called ETH SHIBA, which shared a transaction on the Ethereum blockchain showing they burned little over 400 million tokens.
Similarly, another SHIB community-related project shared data showing that they burned a total of 300 million Shiba Inu tokens over the past few days. Token burns, it’s worth noting, are made by sending SHIB to inaccessible addresses, effectively removing the tokens from circulation.
According to available data, a total of 410.30 trillion SHIB have been burned since the cryptocurrency was launched. Initially, Shiba Inu has a total supply of one quadrillion tokens, but 50% of them were locked in a smart contract to provide liquidity on decentralized exchange Uniswap, while another half were sent to Ethereum co-founder Vitalik Buterin.
Buterin took a large amount of SHIB, at the time $1 billion in the cryptocurrency, and donated it to the COVID Crypto Relief Fund in India, along with significant amounts of other meme-inspired cryptoassets including Dogelon Mars.
The Ethereum co-founder then grabbed around 90% of the SHIB tokens that were donated to him and burned them in a transaction that removed over 410 trillion SHIB from circulation. The Shiba Inu community has since bolstered its efforts to burn SHIB. These include burn parties organized by Bigger Entertainment and companies using part of their profits to burn tokens.
As CryptoGlobe reported, the team behind Shiba Inu recently announced the launch of a token burning portal that is set to help the cryptocurrency’s community burn tokens in an effort to reduce its circulating supply.
The burn portal is set to make it easier for the platform’s users to regularly burn SHIB, effectively reducing its circulating supply. Token burns are popular in the cryptocurrency space, as with demand remaining steady or rising and supply being burned, a token’s price tends to rise as it’s effectively deflationary.
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