Trust, Web3 and The Shibarium Drama

TL;DR

• On Wednesday, Shibarium (the team behind the SHIB token) launched their brand spankin’ new Ethereum Layer-2 (L2) blockchain.

• Problem is, following the Shibarium launch, when users have tried to port their funds from Ethereum to the L2, it hasn’t worked.

• Instead of owning the issue, pausing transactions and figuring out how to fix it, yesterday Shibarium released a blog titled “Shibarium: ALL IS WELL.”

• The Web3 space is all about trust. Lose trust on day 2 and it could take a looong time to recover…If at all.

Full Story

Losing trust on day 2 of a product launch ain’t great.

But that’s exactly what’s happened for Shibarium.

Here’s what we know so far:

On Wednesday, Shibarium (the team behind the SHIB token) launched their brand spankin’ new Ethereum Layer-2 (L2) blockchain.

The aim being to offer an L2 on Ethereum that’s even cheaper and faster than Polygon (another L2 on Ethereum), while shedding the reputation they have as simply the creators of a ‘meme coin.’

(Sounds great in theory).

Problem is, they’ve got themselves a new reputation (which suddenly makes ‘creators of a meme coin’ sparkle in comparison).

Following the Shibarium launch, when users have tried to port their funds from Ethereum to the L2, it hasn’t worked.

As of this writing roughly $2.5M in funds are stuck between the two networks.

Which sucks, but the story doesn’t end there.

Instead of owning the issue, pausing transactions and figuring out how to fix it, yesterday Shibarium released a blog titled “Shibarium: ALL IS WELL.”

In it they said the only reason it’s down is because of the “Insane traffic” being driven to Shibarium.

But crypto Twitter sleuths have other ideas…

We’re not crypto Twitter sleuths, and we’re not part of the ‘ShibArmy.’

What we know for sure is: the Web3 space is all about trust. Lose trust on day 2 and it could take a looong time to recover.

If at all.