Welly, the world’s first restaurant using the meme-inspired cryptocurrency Shiba Inu ($SHIB) as a theme, has confirmed it will use a share of its profits, along with specific percentages of revenue from franchise fees, to burn SHIB.
In a tweet on the cryptocurrency’s utility, Welly confirmed it will burn SHIB in a number of different ways, including using percentages from the franchise fees charged, and through a percentage of the company’s net profits.
The fast-food chain, based in Naples, Italy, announced earlier this month it was set to burn SHIB every time someone made a purchase via the cryptocurrency payments processor NOWPayments. When Welly pretends to start burning is still unclear.
As reported, Welly has said that since releasing the form application to franchise on its website, it received “an enormous amount of requests, literally from all around the globe.” It’s set to open a new flagship store in a “worldwide recognized city” in the first quarter of 2023.
Welly’s confirmation it will actively burn SHIB comes shortly after the launch of the meme-inspired cryptocurrency’s burn portal, which includes token rewards for users. Burning tokens, it’s worth noting, permanently removes them from circulation by sending them to a wallet from which they can never be retrieved.
Projects often burn tokens to reduce circulating supply, which if met with similar or increasing demand could lead to a rise in the token’s price. The SHIB community has long been favoring token burns, effectively removing from circulation 263 billion tokens from October 2021 to March 2022, according to available data.
The burn portal, however, sends users who burn tokens “burntSHIB” tokens, which can be staked to generate rewards in the form of RYOSHI tokens, a separate token in the SHIB ecosystem.
At the time of writing 17.7 billion SHIB, worth over $400,000, have already been burned. Users who commit their tokens are getting a 6.2% APR, according to the burning portal’s data.
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