The data from CoinMarketCap suggest a spike in the meme coin holders, growing from 1,131,043 token holders on April 10 to 1,146,848 token holders as of May 10, an increase of 15,805 holders over a month.
The increase in the overall number of SHIB holders may not immediately impact its price. However, it is a positive sign for the currency as it continues to retain investors’ interest.
Rising Popularity of SHIBA INU Among Merchants
Shiba Inu, has a large following and is rapidly being used as a payment method for high-value goods and services.
Camper & Nicholsons International, one of the world’s oldest yachting firms, started accepting Shiba Inu payments using the cryptocurrency BitPay this week.
“We decided to take bitcoin to extend our market, respond to new consumer tastes, and give customers more options, flexibility, and freedom,” said Paolo Casani, CEO of Camper & Nicholsons.
Gucci will soon start accepting Shiba Inu (and other cryptocurrencies) in select North American stores. This comes after Gucci’s first NFT, which sold for $25,000 at a Christie’s auction in May.
Aside from merchant adoption, many Shiba Inu ventures have sprung up to inflate the Shiba Inu price. The ShibaSwap coin burning portal incentivizes the destruction of Shiba Inu tokens. For instance, the Shiba Inu Coffee Company spends 10% of its income on SHIB burning.
SHIBA Inu also entered the metaverse with its SHIB Project to build a strong crypto community, offering more than 100 thousand plots of virtual space.
The move came amid SHIBA Inu witnessing a drop in its market capital.
Both the price and market capitalization of SHIB have experienced considerable drops in recent weeks. This drop has been even more pronounced due to the overall adverse market attitude.
Shiba Inu is now trading at $0.00001674, representing a decrease of 3.41 percent in the last 24 hours and 19.99 percent in the previous seven days. On a year-to-date (YTD) basis, SHIB trades primarily in the negative territory.
The number of SHIB transactions has fallen to a 12-month low, with recorded transactions falling by about 70% in Q1 2022 compared to the previous quarter.
Raj A. Kapoor, Founder of India Blockchain Alliance, said that about two-thirds of the total quantity of SHIB coins are held in just ten wallets. “Even Shiba’s website audit report shows that four wallets control more than half of the available supply.” he further stated.
Kapoor believes this meme coin may slip into hibernation due to a small number of wallets holding it, low merchant adoption, and an unclear development future.
Kapoor also mentioned that the token’s developers are all volunteers and the future is just seven-page long!