The Shiba Inu project has opted to secure insurance coverage amounting to $2 million to address potential fund retrieval challenges upon the restart of Shibarium.
Shiba Inu’s Layer-2 Shibarium network has resumed block production following a nearly day-long transaction pause.
As per Shibariumscan.io block explorer, Shiba Inu’s layer-2 blockchain Shibarium (SHIB) has reactivated and is generating blocks. The Shibarium network entered a fail-safe mode and paused operations to safeguard funds due to unexpectedly high traffic after the mainnet launch.
Lead developer Shytoshi Kusama verified that elevated blockchain traffic led to certain challenges, but said that fund security remains intact. He asserted that both the bridge and the chain are functioning smoothly and Shibarium is poised for a swift restart.
In an official blog post dated August 18, Shiba Inu developer Kaal Dhairya outlined plans for scaling operations to accommodate substantial traffic on Shibarium. The team will also provide regular updates on the status of the Shibarium network, a fork of Polygon, he said.
“In fact, as we slowly and carefully investigated where the problem exactly took place and found thousands upon thousands of contract creation and normal transactions IN ONE BLOCK.”
Furthermore, the Shiba Inu project has opted to secure insurance coverage amounting to $2 million to address potential fund retrieval challenges upon the restart of Shibarium. Following this announcement, block production resumed on the network as the team maintains vigilant oversight.
Nonetheless, the ShibArmy community expresses apprehension over spreading Fear, Uncertainty and Doubt (FUD) that negatively impacts the project. The members of the community are positive and have shown support for the network’s efforts in working on the transaction pause.
Large holders and traders offloaded their SHIB, BONE, and LEASH tokens, with the spread of FUD prompting significant divestment of their major holdings. Despite this, prices are rebounding following the reactivation of Shibarium, even in the face of a broader crypto market sell-off.
Over the last day, SHIB’s value dropped by 11%, presently standing at $0.0000082. Its range within the past 24 hours fluctuated between a low of $0.0000076 and a high of $0.0000093. Simultaneously, BONE’s price has slid by 15%, settling at $1.18, while LEASH is currently at $430, marking a 5% decline in the same timeframe.