Layer 2 update boosts Shiba Inu's price
As a meme coin, Shiba Inu has always had a dubious image.
As a meme coin, Shiba Inu has always had a dubious image. But does the meme coin gain more substance thanks to the Layer2 update announcement? It's at least good for SHIB's price.
According to an earlier report, the developers around Memecoin Shiba Inu plan to launch their own Layer 2 blockchain under the name "Shibarium". The news has had a positive effect on SHIB's price development in recent days. In fact, in the last 24 hours alone, the value of the Shiba Inu token SHIB rose by 15 percent.
More scaling with "Shibarium"
Shibarium is designed as a Layer 2 chain on Ethereum and expands the Memecoin ecosystem with Shiba Inu. It should integrate the "Shiba-Swap" platform into the scaling solution. The beta mainnet launch would be upcoming. The Layer 2 blockchain offers better scalability, faster transaction times, lower fees, and a comprehensive framework for developers. It is also expected that the integration of Web3 applications will be optimized.
"Together, Web3 and Shibarium's Layer-2 blockchain technology can enable a new decentralized metaverse and gaming ecosystem where players can interact and transact in a decentralized way," the developers say.
More use cases from Layer-2?
With the launch of the Layer-2 solution, the Shiba ecosystem gains significantly more use cases: "In essence, the arrival of Shibarium marks the transition of Shiba Inu away from a meme token toward a substantial cryptocurrency ecosystem where real projects will be built. We really want to provide value to users," the developers add.
Whether the network will succeed in shaking off the meme coin image and whether this will even be pushed is a matter of opinion. In any case, "Shibarium" is a leap forward in development and, in the short term, a jump for the price.
Market expert Stefan Lübeck notes: "Beyond the growing investor interest in the upcoming launch of the Layer 2 network Shibarium, we’ve seen an uptick in SHIB transactions on central exchanges in recent days. The fact that there was then no price correction suggests that investors are using their coins as collateral to open leveraged call positions in Shiba Inu".
