Shiba Inu is continuing with the development of its stablecoin, SHI that is meant to advance the status of its blockchain. Developed by Shytoshi Kusama and Kaal Dhairya, the coin was first conceived of by founder Ryoshi in 2021.
SHI is built to be a de-centralized currency and is the centerpiece of the project’s Layer-2 solution known as Shibarium. Marketing lead LUCIE elaborated on the part that SHI is going to play in the development of Shibarium.
At the moment, the community discussing various collaterals to decide the value of SHI at $0.01. The creators of this coin ensure that it is secure and sustainable in the future. This is to be a departure from the mistakes other dollar-pegged stablecoins such as USDT and USDC have made.
The SHI stablecoin is to bring stability and functionality to the Shiba Inu ecosystem within the Defi space. The development team will work to ensure that the coin is stable and sustainable when it is introduced into Shibarium.
SHIB Price Rallies, Stablecoin Launch Looms
The SHIB token has exhibited strong market performance with fast burn rate and raise in price. According to Shibburn, burn rate has surged by 640% in 24 hours. More than 5.5 million SHIB tokens burned point to active community participation.
This led to a 12% price surge in the last one day which is a record high monthly price hike. At press time, SHIB was trading at $0.00001706, a considerable bounce back compared to many other cryptos.
Analyst SHIB KNIGHT expects SHIB to hit new highs and noted that the token has held levels above the last accumulation block. SHIB KNIGHT said,
”The price has not gone below the last accumulation block, which proves the power of bulls and the tendency to grow further on a global scale”
The optimism from SHIB KNIGHT means that SHIB may arrive at its previous highs of the year 2021 soon. The upcoming launch of the SHI stablecoin is expected to add further momentum to this upward trend and increase the use and liquidity of Shiba Inu’s ecosystem.
Ripple and Shiba Inu Stir Stablecoin Market
Parallel to Shiba Inu’s endeavors, Ripple Labs has introduced its USD-pegged stablecoin, RLUSD, initially set to cater to institutional clients. Ripple has established a dedicated website for RLUSD and has begun issuing coins on the XRP Ledger and Ethereum blockchain.
This strategic move, however, raises potential regulatory concerns with the SEC. Despite the looming regulatory challenges, Ripple’s entry into the stablecoin market signifies escalating competition in the sector.
Ripple’s RLUSD and Shiba Inu’s SHI are set to offer unique propositions catering to different blockchain market segments. The presence of institutional-focused and decentralized stablecoins highlights the diverse approaches companies are taking to harness the benefits of blockchain technology.