Shiba Inu becomes the worst-performing meme coin after a bridge issue was recorded following the Shibarium mainnet launch. 
Bone, a token connected with the Shibarium project, has also recorded a considerable fall of 30 percent in the last seven days.  

As the crypto community grapples with the frequent decline of major assets in the market, Shiba Inu and Dogecoin have exacerbated the concerns of investors with their recent performances. In the trading hours of Friday, Shiba Inu saw a 24-hour decline of 12 percent, making it the worst-performing meme coin in the market. As of press time, the asset had a seven-day decline of 22 percent. In comparison, Dogecoin has declined by 16 percent in the last seven days and a 17 percent decline for PEPE within the same period. 

This comes as a shock with regard to the reaction and anticipation of the long-awaited mainnet launch of the Ethereum layer 2 solutions, Shibarium. Prior to this, Shiba Inu was 6.2 percent down in its 24-hour trading period, compared to Dogecoin’s 8 percent. 

Reason for the Shiba Inu (SHIB)’s Poor Performance

The decline has been linked to the widespread reports of bridge issues following the launch of Shibarium. According to data from Shibariumscan, transactions were suspended for more than five hours. It is reported that a user attempted to make a transaction of 954 ETH (around $1.7 million) in addition to another $750,000 worth of Bone. It appears to be confirmed that several transactions have been pending for more than 9 hours on the Shibarium network. 

In one of the circulating screenshots, Shibarium users had a technical challenge with the block scanner which prevented them from “querying their bridged balance over the RPC (Remote Procedure Call).”

Technical persons have explained that the current happenings show a challenge in assessing and retrieving information concerning transferred tokens within the Shibarium network. The screenshot further captures Shiba Inu lead developer Shytoshi Kusama’s comment, saying:

We f***ed up hard, we can’t recover the ETH bridge.

What Shibarium Mean to the Ecosystem

The Shiba Inu’s transition to a technically inclined project from the mere meme description was fixed on the Shibarium launch which underpins the entire ecosystem. Its testnet hit over 21 million users’ wallets. Its main focus was to facilitate a high transaction speed at a cheaper cost to drastically transform the user experience in the blockchain industry.

Kusama threw more light on the project:

Many in the tech world, inside and outside the blockchain, are promising ‘everything apps’ and full user interactivity in the world of ideas, goods, services, and other opportunities. However, any such promise absolutely must start at a place of both community and decentralization. As part of one of the most popular cryptocurrencies on the planet, Shibarium lives at the intersection of those two principles in a way that eludes most other technologies, even many other blockchains.

As of press time, Shiba Inu was trading at $0.000008 and was making slight progress to regain its lost value with a 0.42 percent rise in the last hour. Bone, a token connected with the Shibarium project, is also struggling as it fell by 30 percent in the last seven days to trade at $1.19. In the last 24 hours, Bone has declined by 3 percent. 

 

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Filed under: Bitcoin - @ August 20, 2023 12:06 pm