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Shiba Inu Shibarium recently suffered a major setback following a massive collapse in active accounts on Layer 2 networkThis development undoubtedly represents a bearish outlook for Shiba Inu, given the impact Shibarium has on the meme coin’s price.
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Shiba Inu Shibarium records 97.6% drop in daily active accounts
Data Shibariumscan data shows that the layer 2 network suffered a 97.6% collapse in its daily active accounts between August 20 and 22. Daily active accounts The number of shibariums peaked at 2,955 on August 20. However, this number dropped dramatically on August 21, falling to 341, and then fell again on August 22, falling to 309.
these Daily active accounts This term refers to the number of wallet addresses that transact on the network on a given day. The spike in the number of daily active accounts on August 20 coincided with the spike in daily transactions on the same day, with 28,680 transactions processed on that day. It is worth noting that network activity on Shibarium was on a downward trend prior to August 20.
Number of daily active accounts on Shibarium In the past 30 days, the number of daily transactions on the network has been low, with 1,898 daily active accounts on August 1, the only day that saw transactions on thousands of wallet addresses on the layer 2 network. Likewise, daily transactions on the network have also been low, ranging between 1,000 and 5,000 daily transactions in the past 30 days.
Many in the Shiba Inu community were hoping that the August 20 spike would mark the start of an upward trend in network activity.
However, the 97.6% collapse shows that Shibarium is still experiencing a downward trend. This development has also had cascading effects on the Shiba Inu ecosystem. Meme Coin Burn Rate It has decreased dramatically, and there have been days when no symbolic burning was carried out.
70% of the basic transaction fees earned on Shibarium are supposed to be automatically converted to Shiba Inu and burned. However, this Automatic burning mechanism It has not been fully implemented yet, likely due to low activity on the layer 2 network.
Shibarium has come a long way.
Despite this setback for ShibariumThe Layer 2 network has undoubtedly made great progress since Release it Last August, the official Shibarium Network account (formerly known as Twitter) highlighted some of its achievements, including the fact that the network had processed over 417 transactions and boasted 1.8 million wallet addresses.
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Furthermore, Shibarium implemented Three solid forks (Delhi, Indore, and Shanghai), all of which add “vital functionality” to the network. The layer 2 network has also become home to prominent decentralized finance (DeFi) applications, including K9 Finance Liquid Trading PlatformGaming Finance (GameFi) is also set to become another of the network’s offerings, with the gaming platform Sheba Eternity It is scheduled to be released on Shibarium.
Cover image from Dall-E, chart from Tradingview
