To enhance its utility, the Shiba Inu (SHIB) ecosystem introduced the Shibarium upgrade, aiming to compete with established cryptocurrency projects.
Shibarium has already achieved significant results in under two weeks since its relaunch following a traffic-related failure. According to Shibariumscan, one notable achievement is the total number of transactions on Shibarium, which has now surpassed 1.2 million.
With these initial results showing promise, attention is shifting to whether the Shibarium upgrade can impact SHIB’s value. Against this backdrop, Finbold is examining key Shibarium features that could help drive the token’s value to $0.001.
Improved transaction speeds
One of Ethereum’s (ETH) key challenges, which Shiba Inu is built on, is slow transaction speeds and scalability. As SHIB and related projects gain popularity, Ethereum’s network congestion leads to costly delays.
Shibarium fixes this by introducing a Layer 2 solution, expected to boost transaction speeds significantly, enhancing user-friendliness. This speed improvement is a compelling feature for investors and users, leading to a possible price rally.
Reduced fees
High transaction fees within the Ethereum network have been a major concern for users. Sometimes, the cost of conducting a transaction exceeds the actual transaction amount, making it impractical for small transfers. Shibarium’s Layer 2 solution is poised to bring relief by substantially reducing gas fees. The prospect of lower fees is a strong selling point for the Shibarium ecosystem.
Token utility
SHIB has faced challenges due to its abundant supply, even with burning a significant portion of tokens. Shibarium addresses this by introducing BONE as the native token of the ecosystem. Validators on the network receive BONE as a reward for securing and validating transactions.
Additionally, every transaction within the new ecosystem will consume SHIB, providing a mechanism to control the inflated supply of SHIB. This increased utility for SHIB and BONE can create more demand and value for these tokens.
DApp development
Decentralized applications (DApps) are a crucial part of the blockchain ecosystem. However, SHIB, in its original form, lacked the technical infrastructure to support DApps effectively. Shibarium changes this by developing a robust ecosystem with a Layer 2 solution in collaboration with Ethereum. This infrastructure empowers developers to create DApps within the Shiba Inu ecosystem, potentially leading to innovative and exciting applications that can attract a broader user base.
Own ecosystem
Lastly, Shibarium also focuses on constructing a holistic Shiba Inu ecosystem. This ecosystem encompasses diverse projects: the SHIB metaverse, ShibaSwap decentralized exchange (DEX), and blockchain games.
Anticipated to draw users and foster engagement, the metaverse and games complemented by the DEX’s enhanced liquidity cater to traders. This comprehensive ecosystem approach can potentially cultivate and expand the Shiba Inu community, elevating it beyond mere meme coin status.
Shibarium marks a major leap for Shiba Inu. While crypto is influenced by overall market sentiment, these features may drive SHIB beyond $0.001.
