SHIB Continues To Surge As Community Fights FUD And Sends Burn Rate To Astonishing Level

The dog-themed altcoin Shiba Inu may be facing a challenge within the community these days, but it continues to trade in the green zone as the Shib Army pushes the burn rate level to astonishing heights in an attempt to propel the token's value to a much higher level.

The Shiba Inu burn rate, according to community burn tracker Shibburn, surged to 352% Monday and saw 37.3 million SHIB burned.

The spike in the Monday burn activity was highlighted by two major transactions - one was 9.6 million and the other, 10.1 million SHIB, sent to a dead wallet.

The burning mechanism was introduced by the Shiba Inu team in 2022 and is considered one of the crucial developments in the community

The activity is inspired by the economic concept of the Law of Supply and Demand, which deliberately reduces the overall circulating supply of SHIB, making it more scarce to positively impact its price.

The Shiba burn rate recorded a relatively higher percentage in the early part of January but slowly started to sizzle down following the uptrend in the token's price.

With the imminent launch of Shibarium, the layer-2 scalability solution of the ecosystem, which is expected to pack a burning mechanism that would destroy SHIB for every transaction, the community expects that the burn rate would skyrocket.

The Shiba Inu coin saw an uptrend since the start of this year, with investors placing their bets in the dog-themed altcoin to make a profit in anticipation of Shibarium's launch.

Since the price rally, SHIB showcased an impressive performance as it saw over 47% increase in its value in less than a month.

Over the weekend, a massive amount of FUD (Fear, Uncertainty, Doubt) flooded the community as its pseudonymous lead developer Shytoshi Kusama dissolved one of its teams, the Breeds, who retaliated by accusing the team lead of interesting allegations.

The Shib Army, however, chose to remain united and fought the FUD by showing their support to Kusama and encouraging others to do the same.

Despite the FUD, Kusama thanked everyone and encouraged the Shib Army to move forward as a decentralized unit with Shibarium reorganization and strategy. Kusama emphasized the importance of the structure since it will help the community "enforce policies, a code of conduct and much more great things for us on the horizon."

The community's effort paid off, and while there are still those talking about the issue, the Shib Army flooded various social media platforms with positive news about the ecosystem.

Although SHIB briefly tumbled, it continued to trade in the green zone.

As of 12:51 a.m. ET on Tuesday, SHIB the native token of the Shiba Inu ecosystem saw a 0.41% increase over the past 24 hours and was trading up $0.00001214 with a 24-hour volume of $248,402,422, according to the latest data from CoinMarketCap.