Shibarium, the layer-2 blockchain of Shiba Inu, recently achieved a TVL (Total Value Locked) of 1 million USD, while experiencing a significant increase in the burning rate of SHIB tokens. The TVL slightly decreased to 1.03 million USD after reaching a peak of 1.13 million USD on December 23rd. The majority of TVL on Shibarium comes from decentralized exchanges such as MARSWAP and ChewySwap.
Shibarium has also witnessed a notable increase in the number of transactions, averaging around 7 million transactions daily in December, totaling 177 million transactions. This reflects the growth of Shibarium since its launch in August.
The burning rate of SHIB tokens has surged, with over 17 billion SHIB tokens burned in the past week. The total number of burned tokens has exceeded 410 trillion SHIB, accounting for nearly half of the total supply of Shiba Inu. Burning tokens is often done to reduce the circulating supply, potentially creating scarcity and price pressure.
Despite the high burn and withdrawal rates from exchanges, the price of SHIB has only increased by 33% in the past month.