Shiba Inu Raises $12 Million in Token Round for its New Blockchain

.. By Nathan Daniels

April 22, 2024

2 min read

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Shiba Inu, the team behind the popular memecoin, has successfully raised $12 million by selling its unreleased token, TREAT, to non-U.S. venture capital investors. The round saw participation from prominent names in the industry, including Polygon Ventures, Mechanism Capital, and Big Brain Holdings. Despite initial confusion regarding the location of some investors, Shiba Inu clarified that none were based in the U.S., though full entity names weren’t disclosed.

Fundraising Details

The fundraising effort for the TREAT token began several months ago and concluded earlier this month. While the valuation remains undisclosed, the round was structured in tranches, with valuations set at $75 million, $100 million, and $200 million, respectively. Shiba Inu’s lead developer, known as Shytoshi Kusama, confirmed that the token round comprised both pre-seed and seed rounds.

TREAT Token Overview

TREAT serves as the utility and governance token of Shiba Inu’s new privacy-focused Layer 3 blockchain, built on Shibarium, its Ethereum Layer 2 blockchain. It will be the final non-stable token from the Shiba Inu ecosystem, with plans to introduce a new token called Shi later this year. The ecosystem already includes popular tokens like SHIB, BONE, and LEASH.

Shiba Inu’s New Blockchain

The Layer 3 blockchain, developed by Shiba Inu, utilizes fully homomorphic encryption (FHE) technology from cryptography company Zama. FHE, considered the “holy grail” of cryptography, ensures end-to-end data encryption, even during processing. This blockchain aims to address various issues in the crypto space, including privacy and trust, catering to Shiba Inu’s extensive community and the broader crypto-curious audience.

Regulatory Compliance and Future Plans

Shiba Inu emphasizes the importance of regulatory compliance while prioritizing user privacy and security. The new blockchain intends to provide both privacy and credential verification capabilities, enhancing security and compliance simultaneously. While specific details about the Layer 3 blockchain remain undisclosed to prevent scams, Shiba Inu plans to release a testnet in the third quarter of this year, followed by the mainnet after thorough testing.

In summary, Shiba Inu’s successful token round and development of a new privacy-focused blockchain underscore its commitment to innovation and addressing critical issues in the crypto space, while adhering to regulatory standards and prioritizing user privacy and security.