SHIB Burn Rate Drops 95% Despite Metaverse Boom: Warning or Opportunity?
The sharp decline in Shiba Inu (SHIB) token burning activity is raising questions as the ecosystem is being fueled by a major metaverse update. In the past 24 hours, only 323,100 SHIB tokens were burned, an incredibly low number by normal standards, according to data from Shibburn.
The SHIB Flame Almost Extinguished: An Anomaly or a New Trend?
None of the five burns exceeded 200,300 tokens, which is worth less than $4 at current prices. This is 95% lower than the daily average, surprising the SHIB community and raising the question: is this a temporary slowdown or a sign of a worrying trend?
Shiba Inu is known to have burned hundreds of millions of tokens per day in previous phases, part of a deflationary strategy that has been strongly supported by the community. However, with more than 584,555 trillion SHIB tokens still in circulation, the current burn rate is clearly not creating significant pressure to reduce supply.
SHIB Army still maintains long-term confidence
On a positive note, 4.69% of the total SHIB supply has been staked, indicating confidence in the long-term prospects of the SHIB Army community. Data from IntoTheBlock also shows that the number of holders holding for more than a year continues to increase, reflecting a persistent belief in future growth.
Metaverse Updates Strongly Shibarium Responds Positively
Despite the reduced burn rate, SHIB: The Metaverse has just received a major update, optimizing performance and expanding accessibility to low-end devices.
Highlights like Technology Trench, Bark Park, and SHIB Station now run smoother thanks to over 200 texture tweaks, RAM savings, and visual improvements on both Android and iOS.
The impact is clearly reflected in the Shibarium ecosystem as TVL (total value locked) increased by 13.07% to $3.66 million, signaling users are starting to return to the L2 blockchain.
A double-edged sword
Over the 7-day period, a total of 60 million SHIB tokens were burned, but this is still down 3.54% from the previous week, a sign of hesitation to participate in the token burn campaign when SHIB price is recovering.
Why does this matter to investors?
Token burning is a core tool to reduce supply and increase the long-term value of digital assets. SHIB’s slowing burn rate may be a concern for some investors, but it also creates an opportunity to see how the metaverse and Shibarium can compensate with real ecosystem growth.
Conclusion: The small fire is not necessarily extinguished
The sudden decline in the token burn rate may just be a temporary correction, while the explosion of the metaverse and the Shibarium ecosystem opens a new chapter of potential for SHIB.
With the community remaining loyal and the platform continuing to upgrade, closely monitoring the token burn and TVL in the coming weeks will be key to assessing the medium-term price outlook for SHIB.