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Key Reason Behind SHIB’s Sudden Plunge After Shibarium’s Launch

Thu, 08/17/2023 - 05:55
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Alex Dovbnya
Shiba Inu's new layer-2 solution, Shibarium, faced a tumultuous debut this Wednesday, with technical issues causing its mainnet RPC to go offline and locking a significant amount of Ethereum on its cross-chain bridge
Key Reason Behind SHIB’s Sudden Plunge After Shibarium’s Launch
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Shiba Inu's much-anticipated layer-2 solution, Shibarium, officially launched on the mainnet this Wednesday. However, the debut was not without its controversies.

As of press time, the Shib Mainnet RPC, accessible via, is currently down. This has raised concerns among the cryptocurrency community, especially given the significant amount of Ethereum (ETH) locked in the Shibarium cross-chain bridge.

According to monitoring by Beosin, transactions on Shibarium are stuck in a pending state. A staggering $1.7 million in ETH is currently locked on the Shibarium cross-chain bridge, leading Beosin to advise users to temporarily halt any activities on Shibarium.

This comes after the Shibarium testnet saw the creation of over 21 million wallet addresses, indicating a high level of interest and activity in the lead-up to the mainnet launch.

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Adding to the uncertainty, an unverified message allegedly from Shiba Inu's founder, Shytoshi Kusama, has been circulating on social media. The message reads, "We f**ked up hard. We cannot even recover ETH bridge." This purported internal Telegram chat message has yet to be confirmed as authentic by U.Today.

The technical glitches have had a direct impact on Shiba Inu's market performance. The SHIB price has plummeted, currently trading at $0.00000931, marking a 6.7% drop, according to CoinGecko data.   

Social media has been abuzz with reactions to the botched launch. Crypto enthusiasts have taken to platforms like X to express their skepticism and mock the situation. Comments range from suggesting alternative blockchain solutions to outright declaring the death of Shibarium mere hours after its launch.

As the SHIB community awaits further clarity, Shytoshi Kusama has yet to issue an official statement addressing the controversy after spending months hyping up the Shibarium launch.  

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About the author

Alex Dovbnya (aka AlexMorris) is a cryptocurrency expert, trader and journalist with extensive experience of covering everything related to the burgeoning industry — from price analysis to Blockchain disruption. Alex authored more than 1,000 stories for U.Today, CryptoComes and other fintech media outlets. He’s particularly interested in regulatory trends around the globe that are shaping the future of digital assets, can be contacted at