Shiba Inu Token Falls 10% Amid Shibarium Code Drama

SHIB's price was down 10% in the past 24 hours, data shows.

AccessTimeIconMar 16, 2023 at 5:01 a.m. UTC
Updated Mar 16, 2023 at 4:28 p.m. UTC
10 Years of Decentralizing the Future
May 29-31, 2024 - Austin, TexasThe biggest and most established global hub for everything crypto, blockchain and Web3.Register Now

Shiba inu's (SHIB) price fell 10% in the past 24 hours amid drama surrounding the codebase of the upcoming Shibarium blockchain.

The much-awaited Shibarium blockchain released its beta version for the layer 2 network last week, as CoinDesk reported. A beta testnet is a blockchain that mimics real-world functioning. Layer 2 refers to a set of off-chain systems (separate blockchains) built on top of layer 1 protocols that reduce bottlenecks with scaling and data.

However, the euphoria surrounding the launch paused on Thursday morning after a top-ranked community member on Shiba Inu’s Discord channel flagged concerns. The concerns came from Shibarium beta testnet using the same Chain ID as an existing blockchain.

“Chain ID is the simplest thing any Blockchain dev looks for first when deploying a Blockchain,” community member Steve wrote. “As using an ID that already exists is just incompetent as your chain wouldn't work properly and everyone trying to interact with your chain would instead interact with the other chain.”

“Why is it that it looks like shibarium test net has taken rinia testnet genesis file. Changed the name from renia. But forgot to change the chain ID,” Steve added.

Developers and other prominent community members were quick to address the concerns. “There is absolutely no evidence that this is a fork of a chain that launched last month,” wrote one JesusM on the Discord channel. “Code is forked all the time. Moreover, there is no confirmation that it was.”

Discord user “Justinlime,” another network validator, chimed in: “Even if some of the code was used in the beta does not mean all of it was. To me it's very doubtful that it's a direct fork with nothing changed. Forking, and building upon already established software, is the core foundation of what FOSS (free and open source software) stands for.”

Shiba Inu ecosystem tokens BONE and LEASH were also down more than 10% in the past 24 hours at the time of writing.

Disclosure

Please note that our privacy policy, terms of use, cookies, and do not sell my personal information has been updated.

CoinDesk is an award-winning media outlet that covers the cryptocurrency industry. Its journalists abide by a strict set of editorial policies. In November 2023, CoinDesk was acquired by the Bullish group, owner of Bullish, a regulated, digital assets exchange. The Bullish group is majority-owned by Block.one; both companies have interests in a variety of blockchain and digital asset businesses and significant holdings of digital assets, including bitcoin. CoinDesk operates as an independent subsidiary with an editorial committee to protect journalistic independence. CoinDesk offers all employees above a certain salary threshold, including journalists, stock options in the Bullish group as part of their compensation.

Shaurya Malwa

Shaurya is the Deputy Managing Editor for the Data & Tokens team, focusing on decentralized finance, markets, on-chain data, and governance across all major and minor blockchains.


Learn more about Consensus 2024, CoinDesk's longest-running and most influential event that brings together all sides of crypto, blockchain and Web3. Head to consensus.coindesk.com to register and buy your pass now.