A massive Shiba Inu whale has moved over 91 billion $SHIB into a wallet belonging to the popular Indonesian cryptocurrency trading platform Indodax, at a time in which the meme-inspired cryptocurrency’s price has been dropping, amid a wider crypto market rout.
According to data from the Ethereum blockchain, a whale that currently has over $4.5 million worth of digital assets in its wallet has recently moved nearly 92 billion tokens, worth around $1.1 million, to the cryptocurrency, presumably to dump the tokens.
The transaction came at a time in which the price of the meme-inspired cryptocurrency has been steadily falling after rallying over 50% year-to-date. Over the past week, SHIB’s price has dropped by more than 8%.
The whale’s transaction was made to a wallet associated with Indodax, an Indonesian cryptocurrency exchange, and given the timing it’s presumed the whale sold off its SHIB tokens. In its wallet, it still holds 296 million Polygon ($MATIC) worth over $360,000, and 55 million Smooth Love Potion ($SLP), worth over $180,000.
Notably, most Shiba Inu investors have shown they aren’t planning on selling en masse, as the median time that users on Coinbase hold onto the meme-inspired cryptocurrency before either selling it or moving it to an external address has surpassed the 230-day mark.
The number of Shiba Inu holders has been growing ahead of the expected launch of Shibarium, an upcoming layer-2 solution that aims to improve the Shiba Inu ecosystem by providing faster transactions at a lower cost, among other important improvements. There are still a lot of questions surrounding the release and utility of Shibarium, however.
Shibarium will work alongside Ethereum to process transactions on the Shibarium ecosystem. It will take a large cut of the transaction load the Shiba Inu ecosystem currently brings onto Ethereum to process it on the Shibarium chain.
Further, the layer-2 will remove tokens from circulating to reduce supply and help boost the price. This is known as a token burning mechanism, in which tokens are sent to wallets that can only receive tokens but not send them, also called Dead Wallets. Shibarium will burn $SHIB and require $BONE for transactions.
Featured image via Pixabay.
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