How Shiba Inu’s new stablecoin is built to avoid TerraUSD-like crashes
|- Shytoshi Kusama dropped the details of the experimental stablecoin project SHI.
- Developers will share further information about the stablecoin, which will be released later this year.
- The current version of SHI avoids the issues found in Terra’s stablecoin that sent shockwaves across the crypto ecosystem.
Shiba Inu developers are working on exciting developments in the ecosystem in Shibarium, TREAT and SHI. Shytoshi Kusama addressed the ShibArmy and alleviated their concerns about the new stablecoin. Kusama assured Shiba Inu holders that SHI will not face the same fate as Terra’s UST.
Also read: Three factors behind Shiba Inu price that can trigger an important movement
Shiba Inu developers are working on stablecoin SHI
Shiba Inu ecosystem’s lead developer Shytoshi Kusama published a recent update on ongoing projects Shibarium, SHI, TREAT and the Shiba Metaverse. Shytoshi commented on the collapse of Terra’s TerraUSD (UST) given the growing concerns among market participants.
Soon after Tron’s USDD launch, the stablecoin suffered a depeg and holders feared a UST-like collapse. While fears about the stability of stablecoins increased, Kusama shared insights on the current version of SHI. Kusama told the ShibArmy that an independent group of developers in Shiba Inu’s decentralized network are working on SHI.
The blog reads:
Needless to say Shi is a concern after watching other stable tokens collapse and billions in dollars get wiped off the market completely. *Poof* WOOF! So as for Shi, we’ve seen independent development from a group of developers in our decentralized network.
Developers have submitted a version of Shiba Inu’s stablecoin SHI that avoids the issues found in other moonshots. SHI will be used to counter and balance payments that need to be done, without market fluctuations.
Stablecoin SHI is an experimental protocol, and a detailed announcement with critical information about the project will be published soon. Kusama believes SHI will be released in 2022, bearing no issues.
Shibarium development is on track
Shibarium, considered a key component in Shiba Inu’s ecosystem, is under development. The layer-2 scaling solution will see the launch of its public beta phase in Q3 2022, based on Unification Foundation’s announcement.
Shytoshi tells the ShibArmy that the development is on track, new developers were hired and the redesign of the web portals is underway. The team is moving fast to complete the project and Shibarium is a core component for Shiba Inu and Ryoshi’s vision for the project. xFUND and SHIB developers will soon finalize a date for the public beta and make an announcement.
271.2 million Shiba Inu coins burned since July 5
Based on data from Shiba Inu’s burn portal Shibburn, a total of 271.2 million SHIB were burnt in 14 transactions since yesterday, July 5, 2022. Shiba Inu burn has intensified since the meme coin hit a key milestone of 410.3 trillion SHIB.
Over 41% of the Dogecoin-killer’s circulating supply is permanently destroyed and out of circulation. Based on the initial plan, burn is expected to push the value of the Shiba Inu coins held by the community higher.
No tricks, only TREAT
Shytoshi delighted the ShibArmy with news about TREAT, the reward token for the community. Kusama cited the recent announcement of BONE rewards for validators and processes within the Shiba Inu ecosystem. Kusama informed the ShibArmy that TREAT would act as a reward for the community and the metaverse. A limited supply of TREAT will be reserved for Breed members and tokenomics will be released soon.
Shiba Inu to allow traders to recoup losses?
Tony M, a crypto analyst at FXStreet recently evaluated the Shiba Inu price chart and noted that the meme coin’s consolidation is a precursor of a sharp rally. The analyst argues that Shiba Inu presents a bullish setup and an entry with 4-1 reward-to-risk ratio.
Analysts argued that Shiba Inu’s competitor Dogecoin is likely to offer traders a profitable trade opportunity. For more information and key price levels, check this video:
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