Kraken Adds SHIB as Collateral for Futures Trades, Burn Rate Surges by 139,103%

Shiba Inu (SHIB) gains new utility as Kraken includes the memecoin as collateral for futures trading, coinciding with a 139,103% surge in its burn rate.

SHIB Now Collateral on Kraken

Shiba Inu (SHIB), the popular memecoin, has taken another significant step forward in the crypto world. The cryptocurrency exchange Kraken has announced that SHIB can now be used as collateral for futures positions on its platform. This development comes as a welcome surprise to the Shiba Inu community, particularly its lead developer, Shytoshi Kusama, who expressed their appreciation on social media.

Kraken Pro, the exchange's professional trading interface, revealed on Thursday that SHIB would be added as a collateral currency for futures trades. This means that traders can now leverage SHIB to back their positions, providing more flexibility and options in their trading strategies. The announcement was met with enthusiasm from Shiba Inu's pseudonymous lead developer, Shytoshi Kusama, who responded with an angel emoji, signaling gratitude and excitement.

SHIB Burn Rate Explodes by 139,103%

This addition to Kraken's offerings coincided with a dramatic increase in SHIB's burn rate. The official Shiba Inu burning portal reported an astounding 139,103% surge in the burn rate over the past 24 hours. This massive jump saw more than 96 million SHIB tokens removed from circulation, a move that applies significant deflationary pressure on the token. A higher burn rate typically means that fewer tokens are available, which could, in theory, lead to a price increase over time.

In addition to the spike in the burn rate, data from IntoTheBlock revealed a 64% increase in large SHIB transactions, those valued at over $100,000. This uptick indicates growing interest and activity among major investors, possibly in response to the new collateral utility provided by Kraken. Moreover, the number of daily active addresses also rose by 14%, further demonstrating the heightened engagement with the SHIB token.

SHIB Price Remains Stable Despite Developments

Despite these significant developments, SHIB's price remained relatively stable. As of this writing, the token was trading 1.36% lower than it was 24 hours earlier, showing little immediate impact from the surge in burn rate or the new trading options on Kraken.

Shiba Inu continues to be a focal point in the crypto community, and these latest updates further solidify its place in the market. With the new collateral option on Kraken and the ongoing burn efforts, SHIB may see more fluctuations in the near future. For now, the Shiba Inu community remains optimistic, closely watching how these factors will influence the token's value and utility.