Since its launch in 2020, over 410 trillion SHIB tokens have been burned—approximately 41% of Shiba Inu’s total supply. As of recent data, the total value of burned SHIB exceeds $2.77 billion.
Shiba Inu (SHIB) ranks as the second-largest meme coin by market capitalization, trailing only Dogecoin. Despite its 2020 debut, SHIB has gained immense popularity, partly due to its aggressive token-burning mechanism. Initially launched with a staggering one quadrillion tokens, SHIB’s supply has decreased by 410 trillion through burns. However, significant burns remain necessary for SHIB to approach milestones like $0.01 or $1.
What Is Shiba Inu Coin Burning?
Coin burning refers to the deliberate removal of tokens from circulation to create deflationary pressure. Projects achieve this by sending tokens to irrecoverable "burner addresses" (or "dead wallets")—crypto wallets with unknown private keys. Once sent, these tokens are permanently inaccessible.
While anyone can burn tokens by sending them to a burn address, most burns are initiated by project teams or communities. For Shiba Inu, burning SHIB was a collective decision to reduce supply and enhance scarcity. Other major projects like Ethereum and BNB also employ burning mechanisms.
Shibarium: Automating SHIB Burns
Shibarium, Shiba Inu’s Layer 2 network (launched in 2023), plays a pivotal role in automated burns. Here’s how it works:
Transaction Fees: Each Shibarium transaction incurs a base fee and priority fee.
- 70% of the base fee is burned.
- 30% maintains the network.
- Burn Accumulation: Fees accumulate in BONE (Shibarium’s native token). Once $25,000 worth of BONE is pooled, it’s swapped for SHIB and burned on Ethereum’s Layer 1.
👉 Discover how Shibarium boosts SHIB's deflationary model
In October 2023, Shibarium facilitated ~40 million SHIB burns daily. While current burns are modest, increased adoption could exponentially accelerate the burn rate.
Why Does Shiba Inu Burn Coins?
SHIB’s massive initial supply (one quadrillion tokens) necessitated burning to foster scarcity. Key reasons include:
- Supply Control: Reduces inflationary pressure.
- Price Potential: A lower supply increases the likelihood of price appreciation (though demand must also rise).
- Community Consensus: Burns align with the Shiba Inu community’s vision for long-term value.
Example: For SHIB to reach $1, its market cap would need to exceed $580 trillion—impossible without drastic supply reduction.
History of SHIB Burns
Shiba Inu’s burning mechanism wasn’t part of its original whitepaper. The first major burn occurred in June 2021, when Ethereum co-founder Vitalik Buterin burned 41% of SHIB’s supply (410 trillion tokens) gifted to him at launch. This event halved SHIB’s circulating supply and boosted its popularity.
Since then, the community has actively burned SHIB through:
- Shib Burn Portal (launched April 2022).
- Community Initiatives: Over 180 billion SHIB burned via efforts like NFT games and ad revenue programs (e.g., Brick Burner mobile game).
- Shibarium: Automated burns from Layer 2 transactions.
👉 Explore Shiba Inu's latest burn statistics
SHIB Burn Addresses
Three primary addresses are used for burns (Warning: Tokens sent here are lost forever):
0xdead0000000000000000000000000000000000000x000000000000000000000000000000000000dead0xdEAD000000000000000000000000000000000000
Current SHIB Supply Distribution:
| Circulating SHIB | Staked SHIB | Burned SHIB |
|---|---|---|
| 579,814,122,220,815 | 9,524,667,039,352 | 410,661,200,739,831 |
FAQ: Shiba Inu Coin Burns
1. How many SHIB tokens are burned daily?
As of October 2023, ~40 million SHIB are burned daily via Shibarium and community efforts.
2. Can burned SHIB be recovered?
No. Burned tokens are permanently removed from circulation.
3. Will burning SHIB increase its price?
Burning alone doesn’t guarantee price growth. Demand must also rise to drive value.
4. What’s the goal of SHIB burns?
To reduce supply and create scarcity, potentially increasing token value over time.
5. How does Shibarium help burn SHIB?
It automates burns by allocating 70% of base transaction fees to a burn contract.
The Bottom Line
Shiba Inu’s burn mechanism has removed 410 trillion SHIB from circulation, but significant burns are still needed to impact prices substantially. With tools like Shibarium, the burn rate may accelerate—potentially paving the way for SHIB to reach higher valuations.