Shibarium Layer 2 Blockchain What We Know About Shiba Inu’s
- Shibarium is a Layer 2 scaling solution created by Ryoshi, the developer of the Shiba Inu currency.
- Shibarium is projected to alter and improve the investor experience in the Shiba ecosystem upon debut, increasing transaction speed and lowering expenses.
- Shibarium will have a SHIB burning mechanism and may serve as a bridge between blockchains.
- Shibarium seeks to provide the foundation for the Shiba Inu ecosystem, including a metaverse, a decentralized exchange, and blockchain games.
- Shibarium’s exact release date is unknown, but the Shiba Inu team anticipates that it will be available shortly.
Since Dogecoin attracted the attention of the crypto community and made it into the top ten cryptocurrencies by market cap, numerous dog-themed businesses have attempted to replicate its success. DOGE and Shiba Inu were once just meme currencies. However, SHIB developers have recently shifted their efforts to making SHIB a meme token with genuine usefulness to attract the attention of additional investors. With the forthcoming release of Shibarium, the project is on its approach to establishing itself as a value-based, comprehensive ecosystem.
This essay delves into the Shiba Inu ecosystem and the Shibarium Layer 2 solution. We will look at the newest Shibarium news, what Shibarium will offer, tokens in the Shiba ecosystem, Shiba Eternity, and the Shibaswap DEX because it has yet to debut.
What is Shibarium?
SHIB’s founder, Ryoshi, is focused on expanding its value beyond that of a meme token after successfully launching and garnering massive and devoted support in the form of ShibArmy. SHIB dubbed the “Dogecoin killer,” is the utility token of Shibaswap, an Ethereum-based decentralized exchange (DEX). Ryoshi announced Shiba’s roster for the Shibarium network in 2021, including the inclusion of a new Shiba stablecoin, SHI.
Shibarium is an L2 scaling solution created to improve the Ethereum blockchain. To properly comprehend Shibarium, we must first grasp what an L2 solution is. The co-founder of Ethereum, Vitalik Buterin, says that under the blockchain trilemma, you must trade one of scalability, decentralization, or security to have the other two, and L2s seeks to address the problem through transaction scaling.
Consider the cryptocurrency Ethereum. It has scalability concerns while being decentralized and safe. This is why, during periods of high traffic, like the 2017 CryptoKitties Congestion Crisis, Ethereum delays and becomes prohibitively costly to use. SHIB has been functioning on the Ethereum blockchain since its inception in 2021, and as a result, it is facing Ethereum issues.
An L2 approach enhances scalability without interfering with the other two components of the blockchain trilemma. Consider it a flyover erected spanning a busy roadway. It reduces the speed and cost of transacting on Ethereum’s main chain. Most importantly, it allows for increased throughput (traffic). Shibarium will try to be that flyover for its users, increasing the efficiency of the safe Ethereum network.
What Shibarium Will Offer
Although the Shiba Inu creators haven’t revealed many specifics about Shibarium, here’s what we know about its primary promises:
Minimal Gas Fees
The transaction prices soared to $800 when Shiba Inu published its non-fungible token (NFT) collection. This implies that even if the NFTs were free to mint, you would still have to pay $800 to acquire them, posing a huge barrier to adoption that needs to be overcome. Fortunately, the expensive petrol prices motivated Shiba Inu developers to create a long-term solution for their community.
The restricted amount of transactions processed per second on the Ethereum network is one of the elements that contribute to the high gas prices that are frequently seen. The network now averages 15 transactions per second (TPS). In comparison, Ethereum L2 solutions like Polygon may achieve hundreds of TPS.
Metaverse and Gaming
Shibarium aspires to create an ecosystem from which future Shiba Inu initiatives will emerge. SHIB: The Metaverse and a blockchain version of the Shiba Eternity game are two examples of similar initiatives. These projects have already captured the ShibArmy’s attention and will be released following the publication of Shibarium.
SHIB: The Metaverse will also bring usefulness to SHIB, which will be utilized to personalize your land plot, buring SHIB each time. However, to purchase land, users must transact in ETH while locking up their LEASH tokens or Shiboshis.
According to the sneak peeks, Shibarium will also contain SHIB burning mechanisms, as the enormous quantity of SHIB tokens is a key impediment to its transition into a utility asset. More than 40% of SHIB tokens have been withdrawn from circulation since its inception, however, the total amount of circulating tokens still has to be reduced.
Shibarium’s other benefit is its involvement in the development of decentralized apps (dApps). Shiba Inu seeks to speed the production and deployment of decentralized applications (dApps), which are a key component of decentralized finance (DeFi).
Tokens in the Shiba Inu Ecosystem
Shibarium will use five utility tokens to fulfill its goals: SHIB, BONE, LEASH, TREAT, and SHI. Each provides unique opportunities for investors to increase their return on investment. Shibaswap, the ecosystem’s native DEX, may be used by investors to swap tokens, participate in governance, create passive income, and purchase NFTs.
While BONE is Shibarium’s preferred utility token, SHIB is the Shiba Inu ecosystem’s native coin. Unlike most other digital currencies, the huge supply of SHIB allows investors to acquire billions of tokens. It has a total supply of one quadrillion dollars and a circulation supply of 589 trillion dollars.
SHIB was announced in August 2020 as the “Dogecoin killer.” While its value has increased dramatically, SHIB prices are still far from one US cent. However, the advent of Shibarium aims to transform SHIB from a meme token to a utility token, attracting more investors.
At the time of publication, there had been no formal announcement that Shibarium will enhance SHIB’s burn rate. SHIB investors, on the other hand, are still speculating on the likelihood. According to the leaks, Shibarium will most likely have a feature that allows holders to burn tokens and remove them from circulation.
Token burning entails sending them to a wallet that accepts tokens but cannot release them, so permanently removing access to them. Because of the principles of supply and demand, burning seems to increase the value of assets, which is why certain crypto ventures (including Binance) have used this strategy. Furthermore, Shibarium will most likely charge customers a modest transaction fee, with a portion of the cost going toward the burning of SHIB.
Doge Killer (LEASH)
LEASH was created by Ryoshi, the unknown SHIB inventor. He introduced it as a rebase token, which is a cryptocurrency with a variable supply that can be regulated by demand. Holders of rebase tokens may see changes in the number of coins in their wallets, but their overall worth stays unchanged.
Ryoshi and the Shiba Inu developers, on the other hand, abandoned this strategy to “unleash the full potential” of LEASH. They limited the maximum supply of LEASH to 107,647 tokens, which is little in comparison to the supply of SHIB, which is in the quadrillions. Because of these limited quantities, as well as the increased interest, LEASH has a high price of around $324 as of 01/01/2023.
When you stake or bury LEASH tokens, you receive xLEASH tokens. By owning xLEASH, you are eligible to participate in the xLEASH liquidity pool, where you will get 0.5% of all BONE for every block. Furthermore, when you dig or offer liquidity using LEASH tokens, you will earn a piece of the LEASH-ETH SSLP.
BONE serves as ShibaSwap’s governance token, suggesting that holders may help shape the Shiba Inu ecosystem’s future. Furthermore, developers are compensated in BONE tokens. It has a total supply of 250 million and a circulating supply of almost 230 million. When you bury BONE coins, you receive tBONE, which grants you access to a liquidity pool that pays out 1% of all BONE for each block. Furthermore, when you provide liquidity with BONE tokens, you gain a fraction of BONE-ETH SSLP.
Shiba Inu developers revealed on December 30, 2021, that Shibarium users will pay gas in BONE tokens. What makes BONE the greatest option? There are various causes for this. First, BONE’s maximum limit is large enough to allow Shibarium customers to purchase sufficient amounts while maintaining liquidity but low enough to avoid the need for intensive price manipulation.
While the price of LEASH hit an all-time high of almost $4,000 in 2021, the price of SHIB has yet to surpass one penny. As its price approaches $1, BONE appears to be the ideal match. Furthermore, its supply is more constrained than SHIB’s but somewhat less constrained than LEASH. Its status as a utility token also makes it an excellent candidate. Because utility tokens are frequently used to generate financing for initiatives, holders are likely to desire to influence the project’s development.
SHI is a new stablecoin that will be based on Ethereum and Shibarium. It aspires to be a universal store of value, unit of account, and medium of exchange. Almost all stablecoins are tied to the US dollar. SHI, on the other hand, will be linked at $0.01 to guarantee that it is easily accessible to all kinds of people worldwide, intending to enable goods and services payments worldwide.
TREAT, as the name implies, is a profitable asset for Shiba Inu owners. The Shiba Inu metaverse and Collectible Card Game awards are obtained through the token. TREAT is also intended to provide equilibrium to the SHI stablecoin.
Shiba Eternity is a mobile card game with a Shiba Inu theme that you may play for free. It was developed in collaboration with PlaySide Studios. Its mechanics need two players to compete against each other. Each participant’s goal is to defeat their opponents by taking all of their points. You may defeat your opponent and win rewards by using spells, cards, and other tools.
It’s also worth noting that the game is completely free to download and play. All new players are given starting decks. During the initial phase, you will encounter Ryoshi, a Shiboshi who will assist you in navigating the game. Newcomers may easily grasp the game’s mechanics thanks to tutorial-based guidance.
Shibaswap is a Shiba Inu ecosystem native DEX. It provides the ecosystem with a Uniswap-like experience by permitting non-custodial crypto swaps and liquidity availability. Furthermore, it includes features such as staking, governance, and a Shiboshi social club – a community for Shiboshi NFT owners. To use Shibaswap, just link your web3 wallet and begin utilizing your preferred feature.
ShibaSwap DEX currently offers four ways to generate passive income:
Dig: Users that participate in the Dig poll using SHIB tokens receive free BONE tokens. The amount you earn is determined by the number of tokens you invest in the pool.
Woof: This yield farm pool allows you to exchange BONE rewards for SSLP tokens. 33% of the prizes are instantly accessible for use, while the rest remain locked for six months.
Bury: Stake your SHIB, LEASH, or BONE tokens in the Bury tool to create interest. The interest is paid in xSHIB, xLEASH, or tBONE, depending on the asset you stake. You can withdraw 33% of your earnings weekly and the remainder after six months.
Burn Portal: Users are rewarded for burning SHIB tokens in this Shibaswap service. The functionality allows you to put SHIB tokens into a dead wallet and receive Ryoshi tokens in return.
FAQs – Shibarium
While most crypto users are aware of SHIB’s meme coin, it is extending beyond its initial notoriety, with a burgeoning ecosystem that includes a DEX, NFT, and a game inspired by Shiba Inu. SHIB is aiming to create a full ecosystem with metaverse and blockchain games, with the impending introduction of Shibarium, a Layer 2 solution that will offer quicker transactions and cheaper gas prices. Furthermore, it has expanded to incorporate tokens like LEASH, BONE, TREAT, and SHI, which fulfill diverse functions in the ecosystem.
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