Shiba Inu Shibarium launch thrown into chaos as investor funds ‘stuck’ in limbo

The Shiba Inu team say there's nothing to worry about and that all funds are safe

After Shibarium’s launch on August 17 crypto tokens SHIB and BONE both fell sharply after investors complained of ETH funds being stuck in limbo while bridging to Shibairum.

Shibairum is a layer 2 blockchain built on top of Ethereum. 2 years in the making, the layer 2 network aims to create a vast Shiba Inu ecosystem using SHIB, BONE, and LEASH tokens

While investors tried to bridge ETH tokens to the Shibarium chain, traders started to realize that ETH funds were not being received on the other end.

With around $1.7 million worth of Ethereum stuck in limbo, investors turned to Twitter and the Shiba Inu community's Discord and Telegram channels to demand answers.

During the chaos, Shiba Inu’s BONE token fell-30%, DogeKiller LEASH -20%, and SHIB -15%. On Crypto Twitter, likely fabricated images of Shiba Inu ecosystem leader Shytoshi Kusama saying “we can’t recover the ETH bridged,” on Telegram were shared by Shiba Inu ecosystem skeptics and those entertained by drama.

To calm the Shiba Inu community down and clear the air, Shytoshi Kusama shared a Shiba Inu blog post titled Shibarium: ALL IS WELL, detailing recent developments to the ‘ShibArmy’.

In the post, Kusama opened by stating that there were no bridge issues, and any screenshots of Kusama saying there was an issue at hand were false.

The Shiba Inu head went on to say that traffic on Shibarium was too high, indicating that the layer 2 network is struggling with transactions and users. According to the blog, the team is working around the clock to scale the blockchain and bring it up to speed with incoming traffic.

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Written by Alex Buckley

Alex is an editor at who focuses on cryptocurrency and web3 gambling.

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