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Chronicles

The story behind the story

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Shiba Inu developers plan to launch Shibarium, an Ethereum Layer 2 network, in the coming weeks, focusing on the metaverse and gaming applications

Ecosystem tokens shiba inu, leash and bone will serve as the the upcoming Ethereum-based blockchain.  —  Upcoming layer 2 network Shibarium

CoinDesk Shaurya Malwa

Context & Ripple Effects

Shiba Inu had already extended token-holder participation beyond trading through its Doggy DAO beta for ShibaSwap decisions. Shibarium would move the ecosystem from platform governance toward operating an Ethereum-based network, with Shiba Inu, Leash and Bone designated to serve it.

The immediate roadmap was followed by a planned Shibarium beta testnet, and later coverage records a live network competing for users on low fees in financial-services and gaming use cases. That progression makes the launch plan the start of an effort to turn a token community into an application ecosystem.

First-order effects

  • Shiba Inu developers take on the operational task of launching and testing Shibarium, while holders of Shiba Inu, Leash and Bone gain defined roles in the new network's ecosystem.
  • Metaverse and gaming developers receive a prospective Ethereum Layer 2 venue tied to the Shiba Inu community rather than only the existing ShibaSwap governance structure.

Second-order effects

  • Shibarium's low-fee positioning puts it into competition with the more than 50 other networks later reported as seeking users for financial services and gaming, making developer and user acquisition central to its differentiation.
  • The Doggy DAO's prior role in deciding ShibaSwap projects and BONE rewards gives the Shiba Inu community an existing governance mechanism that can influence which applications and incentives are emphasized around the network.

Third-order effects

  • If Shibarium attracts applications, meme-token ecosystems may increasingly seek to retain users by operating dedicated application layers rather than relying solely on token trading and exchange products.
  • Ethereum Layer 2 competition is likely to be shaped less by the existence of another network than by whether communities can pair lower-fee access with durable governance and application demand.

The trend: Crypto communities are expanding from token-led governance and exchange incentives into dedicated Layer 2 networks built to host applications and retain ecosystem activity.

Discussion

  • @shibtoken Shib on x
    🍖 Introduction to Shibarium: Shiba Inu's Layer 2 Network — Rejoice #ShibArmy! Shibarium Beta is about to be launched, and through this article we want to introduce some basic concepts in order to provide clarity to the community. Read more: https://blog.shibaswap.com/...
  • @shibsteve Steve on x
    #shibarmy Lots of info to digest here I plan to be a #shibarium validator. I've been active in discord discussing my intention to validate since January 2022 so have had plenty of time to set things up! Can't wait to get started. #bone https://blog.shibaswap.com/...
  • @hsakatrades @hsakatrades on x
    Like clockwork. https://twitter.com/... https://twitter.com/...
  • @cryptokoryo @cryptokoryo on x
    I don't know why $SHIB needs a Layer 2. But hey, we are here to make money and ride catalysts. #ShibArmy #ShibaInu https://twitter.com/... https://twitter.com/...