Shibarium, the blockchain powering the Shiba Inu ecosystem, witnessed a significant decline in activity within the past 24 hours. Data from Shibariumscan indicates a sharp 52% decrease in transaction fees collected on the layer-2 blockchain, plummeting from 46.5 BONE to 22.33 BONE.
Source: Shibariumscan
For those unfamiliar with the Shiba Inu ecosystem, it’s essential to understand Shibarium’s function. It facilitates the transfer of Shiba Inu tokens, utilizing BONE tokens to cover transaction fees. Moreover, each transaction contributes to the burning of SHIB tokens, with a portion of the BONE transaction fee converted to SHIB tokens and sent to the burning wallet.
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Factors Contributing to the Decline
The drop in fees at Shibarium correlates with a decrease in transaction activity on the Shiba Inu blockchain. Furthermore, over the past day, the number of transactions through Shibarium fell from 9,181 to 4,751. Additionally, the count of active accounts interacting on the Shiba Inu network decreased from 1,077 to 616.
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It’s evident from the data that the Shiba Inu network has experienced a decline across all metrics. The cause behind this decline remains an open question. However, it’s likely that current market participants, including Shiba Inu enthusiasts, perceive limited opportunities or lack interest in active participation within Shibarium.
Implications For The Crypto Economy
As we understand, the crypto economy heavily relies on attention. The conclusion to be drawn is that the Shiba Inu network and its entire ecosystem, built around a popular meme-inspired cryptocurrency, are not attracting sufficient attention.
The decline in transaction fees and activity within Shibarium reflects broader challenges within the Shiba Inu ecosystem. Consequently, addressing these issues will be crucial for revitalizing interest and participation in the network.
