Shiba Inu (SHIB), the second-largest meme coin after Dogecoin, continues to make headlines with the announcement of an automatic SHIB burn mechanism set to commence in January 2024. Speculations are rife about the total number of SHIB tokens to be burned each month throughout the year 2024.
In a previous statement, a community member known as ‘Queenie’ predicted that the SHIB’s total supply could be reduced by over 111 trillion in a “bad” year, through a burn portal. This analysis led to rumors suggesting a potential burn of 9.25 trillion SHIB in January 2024, which, if spread over a 12-month period, would result in a monthly burn of 9.25 trillion SHIB tokens.
The Shiba Inu ecosystem has been witnessing significant SHIB burns, with Shibburn reporting a total of 76 billion SHIB tokens burned in 2023. Notably, December 2023 saw a remarkable burn event with over 33 billion SHIB tokens incinerated.
An increase in the SHIB burn rate within the ecosystem is evident, and with the upcoming implementation of an automatic burn system in 2024, expectations for higher burn rates are growing.
The Shiba Inu team recently shared a blog post announcing a new mechanism designed to enhance the efficiency and productivity of monthly burns. The mechanism, Shibarium, is a transformative token burn mechanism crucial for the network’s economic model, aiming to strategically reduce token supply, potentially increase token value, and benefit the ecosystem. Initially, SHIB burns were manually tracked by an official distributor wallet, but the process will soon transition to an automated system, promising increased efficiency and transparency.