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A recent report published by the on-chain data aggregator CryptoQuant shows that the second largest meme cryptocurrency, Shiba Inu (SHIB), has faced a massive decline in one of its key metrics – the SHIB reserve stored on crypto exchanges.
Arman ShirinyanSHIB exchange reserve crashes
Currently, according to the chart published by the aforesaid data source, the all-exchange SHIB reserve has plummeted to an all-time low of 96.6 trillion SHIB from 135,402,530,126,750 SHIB in January this year.
A year ago, in February, the supply of SHIB held across all exchanges constituted 165,824,798,782,284 SHIB. In April 2022, that amount totaled almost 200 trillion meme coins, which was slightly less that half of the circulating SHIB supply.
The decline this year aligned with a major price drop demonstrated by SHIB; since December 2024, the meme coin has lost more than 60%, falling from $0.0000329 to the $0.000013 low, where it is changing hands at press time.
A likely explanation here could be that the SHIB community has become more confident in the future of the meme coin, therefore, investors have been withdrawing SHIB from exchanges into cold storage since as the old crypto hodler’s rule says: “Not your keys, not your coins.”
Besides, a recent hack of the Bybit exchange, when more than a $1 billion worth of Ethereum was stolen by hackers, alerted the SHIB community, and they decided that holding SHIB in private cold wallets would be much safer than on exchanges vulnerable to hacker attacks.
Yuri MolchanSHIB burns spike 49,552%
While the SHIB reserve on exchanges has plunged, hitting an all-time low, another frequently watched Shiba Inu metric today demonstrated a massive increase – the burn rate.
Over the past 24 hours, the daily burn rate skyrocketed by an astounding 49,552%, while 13,290,880 SHIB meme coins were shoveled to unspendable blockchain wallets and locked there, according to data shared by the Shibburn data platform.
A total of 12,131,978 SHIB were destroyed by an anonymous whale in a single transaction. Similar five-digit growth, though twice a small as that, was noticed on Friday and reported by the same source. On that day, the burn rate went up by 27,660%. However, back then, the SHIB community scorched 503,305,764 SHIB. An amazing 459,294,504 SHIB was destroyed in just one transfer.
Vladislav Sopov
Dan Burgin