Quick highlights
- Shiba Inu became the first meme coin to join Folks Finance and now offers cross-chain lending and borrowing services.
- The partnership builds on existing infrastructure within the Shiba Inu ecosystem.
- The integration uses Chainlink technology to connect multiple blockchain networks.
Shiba Inu (SHIB) achieved a significant milestone by becoming the first meme coin to integrate with Folks Finance, a prominent cross-chain decentralized finance protocol. The listing allows SHIB holders to use various blockchain networks’ lending and borrowing services.
The integration is a significant achievement of meme coin utility in the DeFi space. In a post, the SHIB team emphasized the added functionality for token holders.
Cross-Chain Lending and Borrowing Capabilities
The integration enables Folks Finance to give SHIB holders token yields through lending protocols. The holders of SHIB can also use them as collateral when borrowing other digital assets. These services are also used on various blockchain networks, allowing investors to be more flexible.
The cross-chain feature is based on the Chainlink Cross-Chain Interoperability Protocol (CCIP). The technology allows developers to develop apps that can transfer tokens and data across blockchains without challenges.
In their announcement, Folks Finance stressed the historic nature of the listing. The protocol announced SHIB as “the first memecoin with cross-chain lending markets,” highlighting the distinct role that such integration will play in the cryptocurrency ecosystem.
The partnership builds on existing infrastructure within the Shiba Inu ecosystem. Various tokens in the ecosystem already use Chainlink technology, which forms a framework to support increased cross-chain functionality.
Ecosystem Expansion Through Strategic Partnerships
This is not the only collaboration that Shiba Inu has with Chainlink. The ecosystem previously adopted Chainlink’s Cross-Chain Interoperability Protocol for broader token accessibility.
Last year, three of the largest tokens that belong to the Shiba Inu ecosystem adopted the CCIP standards. This integration gave SHIB, Doge Killer (LEASH), and Bone ShibaSwap (BONE) access to twelve blockchain networks.
SHIB’s price reflected modest gains following the announcement. At the time of writing, the token was trading at around $0.00001243, representing a 1.13% increase over the past 24-hour period.
SHIB price. Source: CoinMarketCap
Token burn activity remained relatively stable despite the positive news. Official tracking data shows 71,685 SHIB tokens were removed from circulation in the past 24 hours. This represents a modest 2.63% increase in burn rate compared to previous periods.
SHIB burn activity. Source: shibburn
Chainlink (LINK) traded at $23.51 at press time, up 0.92% in the last 24 hours, potentially reflecting investor optimism about expanded protocol usage.
Chainlink (LINK) price. Source: CoinMarketCap