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Shiba Inu’s scaling solution Shibarium is breaking records but with a tilt toward the negative side. Data from the protocol’s explorer, Shibarium Scan, shows that total transactions over the past 24 hours have slipped to approximately 593,680, the lowest range recorded since the start of the year.
Waning luster of Shibarium
While the launch of Shibarium came with reasonably visible turmoil, corrective efforts with support from the broader crypto ecosystem helped reset its path.
At launch, total daily transactions moved at a relatively slower pace, with a few hundred transactions conducted on-chain. Soon after, there was an uptick in total transactions, with Shibarium recording up to eight million in cumulative activity. This came as a major milestone toward the end of 2023, a feat that proved unsustainable.
As the total daily transactions started slipping, it has started falling since the start of the year. Over the trailing 30-day period, the Shibarium transaction count soared as high as 4.21 million in February, and before the current count, it fell to 800,460 as of March 10.
The Shibarium transaction count drop marks another major twist for Shibarium as it looks to help cushion the growth of SHIB on the broader market.
Stiff competition and shifting focus
The waning Shibarium transaction count is stirred by lower usage of the protocol as many decentralized finance (DeFi) users are shifting their focus to newer competitors. As observed, protocols like StarkNet that offered airdrop incentives are taking center stage overall.
Additionally, the growth of meme coins on Solana protocol, like BONK and BOOK OF MEME (BOME), have also distracted users in general from the promises of Shibarium, a project many consider to be a meme as well. The growth potential of alternative meme coin projects have shifted the narrative overall.
While Shibarium is innovating in a very unique way, the current period serves as a major test of its resilience. The outcome of this resilience will be visible in the coming months in this bull run.