The transition of Shiba Inu from a meme coin to a genuine altcoin has been unprecedented over the years. The induction of SHIB led to the paradigm shift effect in the crypto space, from attracting an array of dedicated investors across the globe to generating one of the mindboggling returns in financial history during 2021, soaring by an astounding 120,000,000% by removing six zeroes after its decimal point. A life-changing opportunity to buy SHIB tokens for $0.00000000007, later hitting an ATH of $0.000088.

That year, a perfectly-timed investment of just $850 could have made you a billionaire. I wonder if I might witness a return of this magnitude in such a short period ever again. Maybe in a parallel universe!

What SHIB manifested in 2021 is probably the greatest ever phenomenon in the history of the crypto space. Its increased exposure was a function of tremendous momentum driven by social media, coupled with a size of critical strategic initiatives taken by Shiba Inu's team for 2022 and beyond, making it the hottest asset on the earth.

Unquestionably, 2022 was a different game for cryptocurrencies, including Shiba Inu. 2022 was the year of relentless correction when SHIB plunged more than 88% below its ATH. But with the conception that nothing is impossible within the crypto space (especially what SHIB has already demonstrated), concentration has diverted to the future. Specifically, Shiba Inu's community, known as ShibArmy, speculates it could reach $0.01 in 2023.

But Can SHIB Realistically Scent the Cent?

Let's first analyze what would need to execute flawlessly for Shiba Inu to blast to $0.01, and then we'll scrutinize the achievability of such an adamant move.

To smash the equivalent of a cent, Shiba Inu would have to yield a roughly 100,000% return from where it was trading in the early morning hours of February 3, 2023. This stunning reality can be achieved if a certain number of catalysts are flawlessly executed with almost perfect accuracy. It's like SHIB again replicating the fantabulous cycle of the miraculous 2021.

What could undoubtedly be the most significant event in 2023 is the potential release of the layer-2 blockchain project named Shibarium. Just anticipation of the Shibarium launch has shifted the momentum towards Shiba Inu, already jumping 65% from the start of 2023. Shiba Inu is an ERC-20 token built on the Ethereum blockchain. While Ethereum may have been a highly-credible network, it is vulnerable to congestion. Also, don't forget its high gas fees. Shibarium developers aim to correct this by massively reducing the cost of transactions. A successful Shibarium launch is vital before Shiba Inu's team can initiate other ventures faster.

You might be curious to determine the various ventures I mentioned earlier. If the Shibarium launch is successful and the transaction costs are reduced, Shiba Inu's team can shift their focus to blockchain-based gaming. One of the prime temptations of blockchain-hosted games is that the users can reserve ownership of their characters through NFTs which can be purchased or sold at NFT marketplaces, provided transaction fees are affordable — therefore, the need for the Shibarium.

While the development team is busy growing the Shiba Inu ecosystem, we would also have to witness an astronomical coin-burn event by sending tokens to dead blockchain addresses where they can never be retrieved. By triggering the reduction in the circulating supply of the outstanding tokens, each remaining token should technically be worth more.

Recall an event in 2021 when Ethereum founder Vitalik Buterin sent over 410 trillion SHIB tokens to a dead address, benefiting SHIB massively. But what about the outstanding 549 trillion SHIB still left in the neighborhood? Here comes the game-changer, Shibarium!

Shiba Inu’s choking circulating supply will have a giant cut once the highly anticipated Shibarium network is launched. While BONE will serve as the required gas token for operability within Shibarium, each transaction on Shibarium will burn SHIB — yes, every transaction. Now, couple this incredible burn phenomenon with the number of emerging projects to be deployed on Shibarium, triggering a ripple effect.

Let me mathematically explain the acute brilliance of the game-changer Shibarium, based on which Shiba Inu can technically reach $0.01 in 2023.

We all know that Shiba Inu has a gigantic supply of 562 trillion and desperately needs a burning mechanism. So, this is where things could change for Shiba Inu. Because of its current supply of 562 trillion, the growth is very limited. Therefore, a burning mechanism is much needed to reach one cent.

Shiba Inu is currently trading at $0.00001 at this time. The market cap is around 6.5 billion, and the circulating supply is 562 trillion. While each transaction on Shibarium will burn SHIB, the team has not specified the burn percentage. Consider 0.5% as the transaction burn. Please note that I will update the article once the team officially announces the rate.

The burning of Shiba Inu largely depends upon the volume of the Shibarium. Higher the volume, the higher the burns. Remember that the most popular blockchain Ethereum has over $4 billion daily trading volume. Of course, Shibarium can not have such a massive volume at the start because the overall trading volume of Shiba Inu has been just around $160 million (average for the past few weeks). Thus, we will compare the Shibarium with the volumes of not-so-popular blockchains.

Let's assume Shibarium's volume is around $15 million to about $100 million.

When Daily Volume is $15 Million (Worst-Case Scenario):

So, let's start with the worst-case scenario, which is $15 million in daily volume.

Now, multiply 0.5% by $15 million, i.e., $15,000,000 * 0.5% = $75,000. It indicates that for $75,000, you can burn nearly 6 billion tokens daily.

$45,000,000 * 0.5% = $225,000. It indicates that for $225,000, you can burn nearly 18 billion tokens daily.

What If the Shibarium Turns out to be a Huge Success?

Let's assume the Shibarium launch is a massive hit, and the volume increases exponentially. Assume the daily volume is $100 million.

$100,000,000 * 0.5% = $500,000. It indicates that for $500,000, you can burn nearly 40 billion tokens daily.

To reach $0.01, Shiba Inu needs to reduce its supply from 562 trillion to at least 4 trillion. It technically means Shiba Inu needs to burn around 558 trillion supply. So, it will have to burn around 46.5 trillion Shiba Inu tokens monthly.

Thus, if the Shibarium has a daily volume of $15 million, it will burn only roughly 2 trillion tokens yearly. With a daily volume of $45 million, it will burn only around 6 trillion tokens yearly. And with a daily volume of $100 million, it will burn only around 14 trillion tokens yearly.

Therefore, to reach $0.01, Shibarium's daily volume should roughly be at least $2 billion to $3 billion if the burning rate is 0.5%. But, if the team decides to increase the burn rate, we would need less volume accordingly, depending upon the updated burn rate.

In a nutshell, we have roughly estimated how Shiba Inu can technically reach $0.01, depending upon the volume required and burn rate. The conclusion depends upon the development team's actual announcement of the burn rate. But the higher the burn rate the team sets, the closer we reach one cent. Hence, we need to wait and watch for the complete Shibarium burn rate, and once it comes out, we can get a clear picture of the future of Shiba Inu.

Lastly, Shiba Inu would require spectacular social media momentum and the magnificent commitment of ShibArmy that we witnessed in 2021, and we could realize the dream of Shiba Inu reaching $0.01 in 2023.

The transition of Shiba Inu from a meme coin to a genuine altcoin has been unprecedented over the years.

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