Will Koyo Token Burn Billions of Shiba Inu Tokens?
Here’s how the Koyo token project will burn billions of Shiba Inu (SHIB) tokens
Increasing the value of the meme coin is a top priority for the SHIB Army, and they consider burning Shiba Inu tokens as a way to achieve this goal. Interestingly, the SHIB burn rate has experienced a significant surge since March, and one particular project, the Koyo Token, has played a prominent role in this trend.
The Koyo Token is a DeFi project built on the Ethereum blockchain, providing users with decentralized access to a range of financial services, including staking, borrowing, and lending. The Koyo Token platform utilizes its cryptocurrency, the Koyo token, as a means of payment for accessing the available financial services. As per CoinMarketCap, the token currently holds a market cap of just US$8.4 million and is ranked #3180. Despite its relatively small market cap, the project has burned an astonishing 4.631 billion Shiba Inu tokens (equivalent to roughly US$50,000) in the last 10 days, a significant factor contributing to SHIB’s downfall in the last two weeks.
The amount of tokens burned has sparked debates regarding the accuracy of the numbers. The accuracy of the numbers regarding the Shiba Inu token burn was recently confirmed by Shibburn, the dedicated burn tracker for SHIB. The tokens were burned using the burn portal, and the evidence for the burnt tokens is indicated by the amount of burntSHIB tokens linked to the KoyoToken address. The Koyo Token project’s biggest SHIB burn took place on March 17, involving the burning of 924 million Shiba Inu tokens in a single transaction. Other significant transactions to the burn address included 451 million SHIB on March 14 and 591.9 million SHIB on March 12.
Shytoshi Kusama, the chief developer of Shiba Inu, expressed his enthusiasm on Twitter regarding this development. The recent SHIB burns may only be the initial phase, as per the founder of the Koyo project, Kintaro. In a tweet last Friday, Kintaro hinted that the 4.6 billion SHIB burns from Koyo tokens in just eight days were just the start. “But let it be known, this is but a drop in the ocean. #KoyArmy is being prepared. For revelation will soon reveal all,” Kintaro said. At present, the reasons behind the SHIB burns remain unclear, and it is plausible that it could be a marketing campaign for the fledgling project.
Despite efforts to inquire about the matter, Bitcoinist has yet to receive a response as of the editorial deadline. Interestingly, on March 14, Kintaro disclosed that Koyo will be entirely based on Shibarium. In a tweet, Kintaro stated, “In respect we WOOF & in turn we ROAR! We were born, not made to become the most loyal & trusted of alliances to the @Shibtoken #ShibArmy. Our first revelation, we pledge to exclusively build on Shibarium, a utility platform fit for the biggest of armies.” As of the time of writing, the SHIB price has not seen an upswing from the burns and is sitting at US$0.00001076. Following the rejection at the 200-day Exponential Moving Average (EMA) on March 14, the price is now struggling to break past the 50-day EMA.