Shiba Inu is one of the most famous cryptocurrencies on the market. First, it offered a one-time profit of 43,800,000% in 2021, which made some people really rich and set a single-person earnings record.
On the other hand, the token has not yet received real acceptance as a payment mechanism, so it exists mainly as a vehicle for speculation. For this reason, in 2022 it loses 69% of its value.
At all, there is an unlikely path for Shiba Inu tokens to skyrocket from the current price of $0.00001 to $1.although this may take a long time.
The cryptocurrency sector as a whole is facing a number of short-term challenges. These include tighter regulation, tighter tax reporting requirements, and a general decline in investor confidence.
But the unique problem of Shiba Inu is their huge number. There are currently 589.6 billion Shiba Inu tokens in circulation.making it difficult to reach the price of $1.
As explained in The Fool, the math dictates that if this point is reached, The Shiba Inu will have a market value of $589.6 billion.which would make it the most valuable asset on Earth by a wide margin.
To solve this problem, developers are developing ways to burn tokens, permanently removing them from circulation. ShibaSwap is a burn portal designed to encourage holders to give up some of their Shiba Inu tokens in exchange for burnt SHIB tokens.
In addition, the developers are building a metaverse that will serve as a virtual world for the community. As part of this project, users can buy packages using Ethereum and then spend Shiba Inu tokens to give these packages a unique name.
All Shiba Inu spent in this way are automatically burned. But can it work well enough to boost the price of the Shiba Inu token? This is what the math says.
If the Shiba Inu does not create any added value other than being used as a vehicle for speculation, so burning tokens is the only way to get to $1 (and your current offer would have to be significantly reduced to get to that point).
To be precise, the number of tokens in circulation should be reduced from 589.6 billion to 6.1 billion. This is a 99.9998% drop and basically means there will be 6.1 billion tokens at $1 each.
Simply put, the total market cap value of a Shiba Inu will not change. So, how long will it take to cut the offer by that amount? At the time of this writing, 157 million Shiba Inu tokens have been burned.
While this figure fluctuates, if we assume it stays constant every day for the sake of this thought experiment, approximately 57.4 billion tokens will be burned annually.
Therefore, it would take just over 10,270 years to burn enough coins to reach the price of $1. All this makes us understand that the idea of seeing a Shiba Inu for $1 is science fiction, nothing more.
Source: Computer Hoy
I am Bret Jackson, a professional journalist and author for Gadget Onus, where I specialize in writing about the gaming industry. With over 6 years of experience in my field, I have built up an extensive portfolio that ranges from reviews to interviews with top figures within the industry. My work has been featured on various news sites, providing readers with insightful analysis regarding the current state of gaming culture.
