- The developers of Shiba Inu have launched a burn portal to destroy more SHIBs than ever before, thereby reducing the circulation of meme coins.
- Within the first 24 hours since launch, 8 million SHIB tokens have been burned.
- Analysts had forecast a retest of $0.00005 as the Shiba Inu price consolidation fractal comes into play.
Proponents have identified Shiba Inu token burn as one of the key drivers of long-term value appreciation. The launch of the SHIB cremation portal is therefore an important milestone for Shiba Inu keepers.
11 billion SHIBs have been phased out
Developers behind Shiba Inu have launched a burning portal that rewards users for burning SHIB. There were community organized burn events and parties where users were encouraged to burn more tokens to increase the market value of the Shiba Inu.
The Burn Portal was created through a partnership between Shiba Inu and Ethereum-based DeFi project Ryoshi’s Vision (RYOSHI), the anonymous creator of SHIB. Based on the reward mechanism and partnership, 0.49% of all RYOSHI transactions are distributed to traders who have burned SHIB tokens in their Ethereum wallet.
The portal also offers users the opportunity to generate passive income by burning their Shiba Inu tokens. Burning Shiba Inu tokens will offer investors a dual benefit, both by contributing to long-term greater value and by earning incentives by holding burned SHIB in their Ethereum wallet.
Burned SHIB tokens are added to the Ethereum wallet of investors using the Burn portal and pay them RYOSHI rewards. This reward mechanism was newly introduced by the Shiba Inu cremation portal and was absent from previous cremation party events organized by SHIB investors or the merchant community.
The “Shib Army” or Shiba Inu community previously attended events organized by Shiba Inu traders or payment processors such as NOWPayments, where a fixed amount of SHIB was burned per transaction. The burn portal increases experience by one level and doubles the value earned by the investor.
The launch of a portal by the developers of the project has provided the user community with an opportunity to increase their wealth and help reduce the supply of Shiba Inu.
The announcement reads:
Just as we urge transparency with every burn transaction, we also view it as part of the holder’s original investment and respect that and their decision to burn and to assist in the process where the circulation reduction might impact.
A total of 8 million Shiba Inu tokens have been burned since the launch of the SHIB burning portal. A total of 11 billion SHIBs were destroyed, reducing the effective circulating supply and the balance between exchanges.
Interestingly, Ryoshi’s Vision ERC-20 token, RYOSHI, started an uptrend, while SHIB price recorded 5% losses overnight. Ryoshi’s vision project was inspired by the anonymous founder of Shiba Inu and the team behind the project is keen to realize his vision for a human-led DeFi project.
Ryoshi Token therefore intends to complement Shiba Inu in the long term.
Analysts have assessed the price action of Shiba Inu and found that the meme coin’s price stayed between $0.0000200 and $0.0000329 for over 409 days. Furthermore, FXStreet analysts have predicted the formation of a bullish W setup on the Shiba Inu chart and identified $0.0000500 as the next target.