In response to the call for massive burn by investors, the Shiba Inu team announced early this year that they’re working on a platform, the Shiba Inu (SHIB) “Burn Portal”, within the Shiba Inu ecosystem that would regularly burn the token (SHIB). And ever since this announcement was made, it has been a hot topic within the token community.
Although the team hasn’t announced a date for when the burns will occur monthly, the in-built burn portal is expected to be incorporated into the Shibarium and ShibaSwap 2.0 network. In addition, it will be able to remove tokens from circulation on its own.
The 111 Trillion Yearly Token Burn Hypothesis
Queenie, the SHIB Discord moderator, did a hypothetical data analysis on how many tokens might be burned. And from her projection, around 111 trillion SHIB tokens could be burned each year if things go as planned.
This is a huge number because it represents 20% of the total 549 trillion Shiba Inu tokens in circulation.
Queenie also projected that there is still a chance of burning trillions of tokens per year even if a 1% transaction fee for SHIB burns is implemented in the Shibarium and ShibaSwap 2.0.
In plain words, she implies that if ShibaSwap 2.0 has a 1% transaction fee for SHIB burns, coupled with its total trading volume of $10 billion, it could burn 3.7 trillion SHIb tokens per month. When added up over a year, it sums up to around 44.4 trillion tokens.
Furthermore, if the same 1% fee on ShibaSwap 2.0 is stacked with Shibarium, this could double the burn amount, and we could see a total yearly SHIB burn of about 111 trillion.
Queenie’s estimations were hypothetical. So, it may or may not be the case when the portal finally launches. However, there has been confirmation from the dev team that all of their coming projects will have a burn mechanism integrated into them.