- The SHIB Army witnesses the inaugural $SHIB burn on Shibarium L2.
- Metaverse real estate project SHIB CoOp sets 97M $SHIB coins ablaze.
- Shibburn admin divulges the disparity between Layer-1 and Layer-2 burns.
The Shiba Inu community is heating things up in the cryptocurrency space with inaugural cryptocurrency burns on Shibarium. The Layer-2 solution for Shiba Inu brought about important changes to the burning mechanism, as builders on the network can automate the burns more easily.
Amidst this backdrop, SHIB CoOp carried out the first-ever SHIB burn on-chain. The metaverse real estate company shared the 97 million SHIB token burning evidence yesterday on X, raising the question: “When will Shibburn be able to track these burn transactions?”
Admin Debunks Misconceptions About Shiba Inu Burns
Shortly after the message on X, the handle of the official SHIB crypto burning tracker replied to the question raised by SHIB CoOp. In their response, Shibburn’s administration said they “won’t be tracking those transactions since they don’t directly burn $SHIB on Ethereum.”
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The vague answer confused many crypto enthusiasts on Twitter, with SHIB CoOp uttering, “a burn is a burn and dead wallet transactions could be traced.” Shibburn’s admin explained that the $SHIB burns must be done on Ethereum, not Shibarium L2.
That’s where the ambiguity between Layer-1 and Layer-2 kicks in. The original Shiba Inu smart contract was deployed on Ethereum (ETH), the largest PoS blockchain in this scenario. Currently, Shibburn tracks the burning transactions on Layer-1, but the SHIB burns conducted on Shibarium L2 don’t count towards circulating supply reduction.
Finally, Shibburn states that all $SHIB set aflame outside Layer-1 will not count towards the circulating supply. This has split the Shiba Inu community into two camps – while Shibburn’s official stance is that Shiba Inu burning on Shibarium L2 “won’t affect the actual supply,” various members claim that the $SHIB burns should work the same in both environments.
On the Flipside
- Many SHIB Army members have expressed uncertainty about the estimates of burns.
- Multiple SHIB members allege that trillions of tokens must be burned daily.
- Shibburn is meant to move to Shibarium L2 via the new UI, but no date has been given.
Why This Matters
Cryptocurrency burning & tracking aids in assessing the remaining circulating token supply.
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