Shiba Coin investors were eagerly awaiting the launch of the layer2. We warned investors last night. Encrypted messages indicated that the launch could take place around 00:35. And so it happened, the long-awaited Shibarium mainnet was launched. So what does this mean for Shiba Coin investors?
This was a classic case of “buy the rumor, sell the news.” In our article last night, we mentioned that the announcement of the launch was already priced in and could cause a drop in the price. With the news, Shiba Coin price dropped over 5% to $0.000009.
Shibarium is a layer2 network built on Ethereum and is touted as the realization of founder Ryoshi’s vision. The developers stated the following:
“Shibarium is ready to embrace millions of people interested in shaping a new future that honors the principles of decentralization.”
With 21 million wallets created on the testnet, Shiba Coin investors are expecting great interest in the mainnet. Experts believe that if the interest during the test period continues, there could be approximately $40 million worth of Shiba Coin burn monthly. However, there is usually a difference in activity between testnets and mainnets, so expecting a similar level of interest in the short and medium term may not be logical.
Lead developer Shytoshi Kusama said the following:
“We are launching a layer 2 to empower the world’s first decentralized digital nation, and that’s kind of a big deal.”
The newly launched Shibarium will be used to support the existing Shiba Inu ecosystem tokens, including SHIB and LEASH. Validators of the layer 2 will be rewarded with a governance token called BONE, with a total supply of 250,000,000.
So what about the Shiba Coin price? At the time of writing this article, it was trying to bounce back from the support level of $0.000009 amidst the selling pressure from those who said “sell the news”.