Although something as fundamental as the circulating quantity of a cryptocurrency is one of the most straightforward things to determine, differences between price-tracking websites are causing consternation among Shiba Inu Coin investors.
As of this writing, there are 549,095,509,738,353 SHIB in circulation, representing a rise of 155 trillion SHIB from the previous listing of 394,796,000,000,000 SHIB on CoinMarketCap. CoinGecko earlier indicated that the total supply of SHIB was 497,730,966,630,395 SHIB, which just adds to the ambiguity. CoinMarketCap has recently modified this to be the same as its own.
Confusion, fear, and a great deal of misinformation prevailed among individuals serving in the ShibArmy as a result of the roughly 40% price tracking variations. Here is a copy of the damage report.
*SHIBA INU SUPPLY CIRCULATION IS IN A STATE OF CHAOS.
We've split down the situation with the SHIB supply into a number of different assertions in order to make it more clear.
*THE DEVELOPERS OF SHIBA INU COIN ARE MINTING NEW TOKENS.
The discovery of a 40 percent increase in the supply of SHIB would almost certainly generate panic among individual investors who only utilize a single price-tracker. In theory, this may result in a corresponding decrease in the value of your possessions.
A number of hodlers concluded that the Shiba Inu team was boosting the supply of SHIB as a result of this development. This may have even prompted some hodlers to sell their holdings hastily out of fear of a significant decline.
This is not correct. The CoinMarketCap adjustment was a result of an error in the circulating supply listing that had previously occurred. At the time of launch, Ryoshi first minted the 1 quadrillion SHIB, which served as the code for the SHIB's supply.
*COINMARKETCAP WANTED TO DRAG THE PRICE OF SHIB DOWN TO ZERO.
Given the cryptocurrency community's hostility towards memecoins such as Shiba Inu, rumors of a conspiracy among hodlers over the price-tracker modifications began to circulate. Various accusations have surfaced on the internet claiming that the circulating supply has been boosted in order to devalue SHIB.
*THESE ASSERTIONS ARE, ONCE AGAIN, DEBATABLE.
The change in circulating supply has no effect on the price of SHIB. If anything, it helped to elevate SHIB's profile. If the market capitalization had remained at the $27 billion level prior to the change, then sure, the price of SHIB would have declined to reflect this. However, according to CoinMarketCap, the market capitalization of SHIB has climbed by almost $10 billion, while the price of SHIB has remained same.
Due to the fact that SHIB had a bigger circulating supply, which was reflected in the market capitalization, only CoinGecko was the first to declare that it had surpassed Dogecoin. It is hoped that such disparities would be remedied.
*COINMARKETCAP HAS MADE A TYPOGRAPHICAL ERROR.
SHIB hodlers have taken to social media to demand that CoinMarketCap restore the coin's original supply listing, claiming that it had made a clerical error.
Given the responses received from both the Shiba developers and CoinMarketCap, this is an understandable point.
In a reported interaction with CoinMarketCap that was uploaded on the official Shiba Twitter account, the price-tracking service claimed that this was an engineering bug.
This brings us to the most essential question of all. So, what exactly is the supply of SHIB?
In general, it appears that the 549 trillion SHIB estimate is more accurate, however this is not always the case. It is the burn wallets that are the primary source of the decrease in SHIB's supply from its initial 1 quadrillion supply level. The first dead address contains 410 trillion SHIB, which was burnt by Vitalik Buterin in May of this year. However, the second burn wallet only has 35 billion SHIB, which was obtained through the use of Shiboshi NFTs and music playlists.
Following this, it appears that both CoinGecko and CoinMarketCap indicate that the SHIB discovered in the India Covid Relief Fund wallet is not currently in circulation. This is a more contentious component of SHIB's supply because the Relief Fund could still transfer the 40 trillion SHIB it currently has - despite the fact that it earlier stated that it had completed its SHIB transfer.
It appears that CoinMarketCap's initial estimate of 394 trillion SHIB was incorrect, regardless of whether the SHIB supply is 549 trillion SHIB or 590 trillion SHIB. So what is it about hodlers that they want it restored?
It all boils down to money and a misunderstanding of the fundamentals of business. Some believe that with 394 trillion SHIB, the price of SHIB will climb to $0.0001, owing to the $38 billion market capitalization of SHIB. However, the market capitalization of $38 billion is only as large as it is because of the additional 155 trillion dollars that were included in the amended listing - not because of the price.