What happened?
Pseudonymous lead developer Shytoshi Kusama is likely to participate in a community vote aimed at increasing Shiba Inu (SHIB) token burns. This vote will decide how to allocate BONE gas fees, potentially resulting in burning either BONE tokens or SHIB tokens based on their prices. A proposal with strong support suggests burning 100% of BONE when its price is below $2 and 100% of SHIB when BONE trades above $2.
Who does this affect?
This impacts the community of Shiba Inu and BONE token holders who are actively participating in shaping the future of these cryptocurrencies through governance. Investors and traders in SHIB and BONE are particularly affected as the vote could influence the supply dynamics of the tokens. The potential change could impact how both tokens are perceived in the market, possibly affecting their investment appeal and value.
Why does this matter?
The outcome of this vote could significantly affect the market dynamics of Shiba Inu due to the increased deflationary pressure from token burns, potentially improving its price stability and long-term growth outlook. If implemented, the measures could enhance market confidence, possibly leading to increased demand and trading activity. This shift in token economics might also encourage further speculative interest, impacting both short-term and long-term price movements in the cryptocurrency market.