Shiba Inu Burn Rate Spikes 656% as SHIB Struggles to Rebound

Coinspeaker
Shiba Inu Burn Rate Spikes 656% as SHIB Struggles to Rebound

The latest market update disclosed that the Shiba Inu (SHIB) has recently intensified its efforts to reduce the number of circulating tokens. This has led to a noticeable rise in the token’s burn rate. 

Per the update, the burn activity has also stirred up mixed reactions within the digital asset community on what is next for SHIB.

Massive SHIB Burns Recorded Onchain

According to the latest data from Shibburn, a platform that tracks SHIB deflationary trends, Shiba Inu’s burn rate increased by 656.15% on May 6. Earlier in April, Shiba Inu’s burn rate skyrocketed by 825%, with a massive 26.48 million SHIB removed from circulation. This shows the consistency in token burn within the meme coin ecosystems.

In the latest round of burns, 16,779,365 SHIB were permanently removed within 24 hours, signaling a notable increase in activity compared to the slower pace seen earlier in May 2025.

It is worth noting that the burns happened in four separate transactions. According to the update, the most recent took place on May 6, where 146,543 tokens were sent to the burn address BA-3 from the wallet “0x8b15…d4282.” 

As detailed by the tracker, three more transactions took place on May 5. One of them removed 5,537,925 tokens from the address “0x541f…886e0,” sending them to BA-2. Another saw 79,491 tokens moved from “0x7c58…08ccc” to BA-1. A smaller burn of 15,404 tokens was also recorded from “0x811b…954f” to BA-1.

It is worth noting that these transactions show a broader move from the Shiba Inu protocol design to create token scarcity through steady reductions in circulating supply. Since the project’s early days, over 410 trillion SHIB tokens have been burned, cutting the initial total supply from nearly one quadrillion. 

Currently, the token’s circulating supply stands at 584,421,998,825,142 SHIB, while the total supply is 589,251,658,225,261 units.

It is essential to add that the significant uptick in burning also suggests a growing interest from both the community and long-term holders, activity from individual wallets and steady updates from Shibburn hint at deeper engagement among investors.

Shiba Inu Price Holds Amid Market Shift Expectations

After the Shibarium DappStore went live on April 25, Shiba Inu’s price jumped by 9%. The new platform aims to grant users and developers an easier and more secure way to access verified decentralized applications.

However, despite the sharp rise in the token burn rate, SHIB’s price has not reacted positively. According to the latest data from CoinMarketCap, SHIB is priced at $0.00001262, reflecting a 3.27% drop in the last 24 hours. Its market capitalization also dipped slightly to $7.37 billion.

However, trading activity suggests that interest remains strong as volume increased by over 15.64%, to $140.36 million. 

Based on market sentiment, this increase in trades could show optimism among investors who see the burn strategy as a longer-term value play. According to the market outlook, the number of staked tokens remains high, with over 4.8 trillion SHIB held as xSHIB.

It is essential to add that while prices have not spiked yet, the consistent burning and growing trade volume are clear bullish signs. The Shiba Inu community is watching closely and staying involved in anticipation of a market shift.

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Shiba Inu Burn Rate Spikes 656% as SHIB Struggles to Rebound