Shiba Inu Project Reactivates Layer-2 Blockchain After Brief Pause19. August 2023
• Shiba Inu’s Shibarium Network has resumed block production after a brief pause.
• The project has secured insurance coverage of $2 million to address potential fund retrieval challenges upon restart.
• The community is positive and supportive, despite FUD that has caused significant divestment.
Shiba Inu’s Shibarium Network Resumes Block Production
The Shiba Inu project has opted to secure insurance coverage amounting to $2 million to address potential fund retrieval challenges upon the restart of Shibarium. As per Shibariumscan.io block explorer, Shiba Inu’s layer-2 blockchain, Shibarium, has reactivated and is generating blocks. Lead developer Shytoshi Kusama verified that elevated blockchain traffic led to certain challenges , saying that fund security remains intact. He asserted that both the bridge and the chain are functioning smoothly and Shibarium is poised for a swift restart.
Insurance Coverage for Potential Fund Retrieval Challenges
In an official blog post dated Aug. 18, Shiba Inu developer Kaal Dhairya outlined plans for scaling operations to accommodate substantial traffic on Shibarium. The team will also provide regular updates on the status of the Shibarium network, a fork of Polygon, he said. Furthermore, the Shiba Inu project has opted to secure insurance coverage amounting to $2 million to address potential fund retrieval challenges upon the restart of Shibarium.
Positive Community Support Despite FUD
Following this announcement, block production resumed on the network as the team maintains vigilant oversight. Nonetheless, the ShibArmy community expresses apprehension over spreading fear, uncertainty and doubt (FUD) that negatively impacts the project. Members of the community are positive and have shown support for the network’s efforts in working on the transaction pause..
Significant Divestment from Large Holders & Traders
Large holders and traders have offloaded their Shiba Inu ( SHIB ), BONE and LEASH tokens, with the spread of FUD prompting significant divestment of their major holdings . Despite this , prices are rebounding following the reactivation of Shibarium , even in face of a broader crypto market sell-off . Over last day , SHIB’s value dropped by 11%.
Overall , it appears that while there were some issues regarding high traffic following mainnet launch ,the team was able to take necessary measures in order ensure funds remain safe . This includes securing large scale insurance coverage as well as providing regular updates about status . Despite FUD causing some divesting from larger holders/traders , prices appear be rebounding quickly due recent activation .