|

Shytoshi Kusama says Shibarium's locked Ether, BONE are safe

  • Shytoshi Kusama, the lead of the Shiba Inu ecosystem, addressed the issue of 1,000 Ether deposited on the Layer 2 chain. 
  • Kusama assured the community that the project is working with the Unification team, and Shibarium will be live once again. 
  • SHIB price started its recovery from the massive decline in response to Shibarium launch.

Shytoshi Kusama, the lead of the Shiba Inu project, addressed the issue of the Shibarium mainnet launch that resulted in 1,000 Ether and 600,000 BONE (a Shiba Inu ecosystem token) getting locked on the bridge. Crypto Twitter was rife with speculation about funds bridged to Shibarium after the Layer 2 chain’s launch. 

Kusama assured the SHIB community that the funds are secure and the developers are working with the team at Unification, a decentralized blockchain toolkit, to scale Shibarium further.

Also read: Breaking: $1.7 million worth of Ethereum stuck in Shibarium bridge as launch fails to catalyze meme coin rally

Shibarium mainnet launch: How funds got locked on the bridge 

Shibarium is Shiba Inu ecosystem’s Layer 2 scaling solution. At its mainnet launch event on Wednesday, Shibarium was flooded with user activity. Shytoshi Kusama explained in a blog post that there was an insane influx of users, while the project purchased an enterprise plan for the Layer 2, that allots 400 million compute units a month, within the first thirty minutes of launch, the statistic crossed 160 million.

Compute units

Compute units tracked by Alchemy for Shibarium

Users attempted to bridge Ether and BONE tokens to Shibarium in a rush, immediately after the chain’s mainnet release and Shibarium failed to handle all requests, halting the bridge activity. Twitter users and the SHIB community then encountered Fear, Uncertainty and Doubt (FUD) from a concerning message, allegedly written by Shytoshi Kusama. 

SHIB community has 1,000 Ether and nearly 600,000 BONE tokens on the Shibarium bridge and the team is working towards scaling the blockchain and taking it live once again, to help users access their funds. 

Shytoshi Kusama assures funds are SAFU

Kusama assured the Shiba Inu community that their funds are “SAFU” , a slang that means safe, in the crypto community. The screenshot circulated on Twitter, linked to Shytoshi Kusama and a statement made by them that the funds are lost, was false. The team is working on taking Shibarium live once again, with help from Unification.

SHIB price is $0.00000890, at the time of writing. The meme coin started its recovery from Thursday’s low of $0.00000872.

Bitcoin, altcoins, stablecoins FAQs

What is Bitcoin?

Bitcoin is the largest cryptocurrency by market capitalization, a virtual currency designed to serve as money. This form of payment cannot be controlled by any one person, group, or entity, which eliminates the need for third-party participation during financial transactions.

What are altcoins?

Altcoins are any cryptocurrency apart from Bitcoin, but some also regard Ethereum as a non-altcoin because it is from these two cryptocurrencies that forking happens. If this is true, then Litecoin is the first altcoin, forked from the Bitcoin protocol and, therefore, an “improved” version of it.

What are stablecoins?

Stablecoins are cryptocurrencies designed to have a stable price, with their value backed by a reserve of the asset it represents. To achieve this, the value of any one stablecoin is pegged to a commodity or financial instrument, such as the US Dollar (USD), with its supply regulated by an algorithm or demand. The main goal of stablecoins is to provide an on/off-ramp for investors willing to trade and invest in cryptocurrencies. Stablecoins also allow investors to store value since cryptocurrencies, in general, are subject to volatility.

What is Bitcoin Dominance?

Bitcoin dominance is the ratio of Bitcoin's market capitalization to the total market capitalization of all cryptocurrencies combined. It provides a clear picture of Bitcoin’s interest among investors. A high BTC dominance typically happens before and during a bull run, in which investors resort to investing in relatively stable and high market capitalization cryptocurrency like Bitcoin. A drop in BTC dominance usually means that investors are moving their capital and/or profits to altcoins in a quest for higher returns, which usually triggers an explosion of altcoin rallies.


Like this article? Help us with some feedback by answering this survey:


Author

Ekta Mourya

Ekta Mourya

FXStreet

Ekta Mourya has extensive experience in fundamental and on-chain analysis, particularly focused on impact of macroeconomics and central bank policies on cryptocurrencies.

More from Ekta Mourya
Share:

Markets move fast. We move first.

Orange Juice Newsletter brings you expert driven insights - not headlines. Every day on your inbox.

By subscribing you agree to our Terms and conditions.

Editor's Picks

Zcash Price Forecast: ZEC extends gains as derivatives turn decisively bullish

Zcash (ZEC) price extends gains, trading above $440 on Wednesday after rallying nearly 30% so far this week. ZEC’s rising open interest, elevated bullish bets, and a shift to positive funding rates all point to stronger demand.

Dogecoin Price Forecast: DOGE recovers on rising bullish bets ahead of Fed rate decision

Dogecoin (DOGE) holds steady by press time on Wednesday after a nearly 4% rise on Tuesday. Derivatives data indicate a surge in bullish bets and retail interest as the broader cryptocurrency market recovers on hopes that the US Federal Reserve (Fed) will reduce interest rates by 25 basis points.

Top 3 Price Prediction: Crypto bulls return as BTC eyes breakout, ETH surges, XRP strengthens

Bitcoin (BTC), Ethereum (ETH) and Ripple (XRP) are showing renewed strength at the time of writing on Wednesday as bullish momentum returns to the broader crypto market.

Top Crypto Gainers: WIF, PENGU, FET – Altcoins surge ahead of Fed’s rate cut

Dogwifhat (WIF), Pudgy Penguins (PENGU), and Artificial Superintelligence Alliance (FET) are leading the bullish charge over the last 24 hours.

Orange Juice Newsletter – Smart insights by real people. Every day.

A free newsletter highlighting key market trends to help traders stay a step ahead. Daily insights on the most relevant trading topics, compiled by our experts in an easy-to-read format so you never miss an important move.

Crypto Today: Bitcoin, Ethereum, XRP pare gains despite increasing hopes of upcoming Fed rate cut

Bitcoin (BTC) is steadying above $91,000 at the time of writing on Friday. Resistance at $94,150 capped recovery on Wednesday, but in the meantime, bulls have contained downside risks above $90,000.