Bone ShibaSwap ($BONE), one of the three main tokens within the Shiba Inu ($SHIB) ecosystem, has seen its price explode by more than 100% so far this year, in a move that helped it become one of the top 100 cryptocurrencies by market capitalization.
According to market data, each $BONE token is now trading for $1.87, up from around $0.87 at the beginning of the year. The cryptocurrency’s price has been exploding ahead of the launch of Shibarium, the Shiba Inu ecosystem’s layer-2 scaling solution.
BONE’s price rise has seen its total market capitalization surpass the $400 million mark, allowing it to enter the top 100 digital assets by market capitalization.
The token is known to be central to the ecosystem’s decentralized exchange ShibaSwap, and according to Coinbase, it’s a “governance token that aims to allow the Shiba users to vote on the upcoming proposal on Doggy DAO,” which is the ShibaSwap platform’s decentralized autonomous organization.
ShibaSwap allows BONE token holders to earn rewards for providing liquidity to the network, with users being able to swap their ERC20 tokens for other coins through it. BONE token holders can also stake on the platform to earn interest.
BONE is also central to Shibarium, as the team behind the platform has confirmed that every transaction on it will require BONE to pay for gas fees, and will burn SHIB to make the latter more scarce.
The token’s price has been rising ahead of the expected launch of Shibarium. Shibarium will work alongside Ethereum to process transactions on the Shibarium ecosystem. It will take a large cut of the transaction load the Shiba Inu ecosystem currently brings onto Ethereum to process it on the Shibarium chain.
As CryptoGlobe reported, earlier this month, SHIB was, along with the native token of the “blockchain of blockchains” Polkadot ($DOT) and others, added to Binance’s Proof of Reserves verification system.
Binance’s Proof of Reserves system essentially allows users to verify through a cryptographic tool called a Merkle Tree to verify that the cryptocurrency exchange has its assets in reserve, backing their deposited funds on the platform.
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