Shimmer (SMR) Crashes by 35% After Delisting from Bitfinex, Community Backlash on the Rise

Shimmer (SMR), the native cryptocurrency of IOTA's Layer-2 scalability platform, has crashed by a massive 35% in the last 24 hours

Shimmer (SMR), the native cryptocurrency of IOTA's Layer-2 scalability platform, has seen a massive 35% price drop in the last 24 hours, falling to $0.004158 after the altcoin was delisted from cryptocurrency exchange Bitfinex.

During Shimmer's launch early last year in 2023, IOTA founder Dominik Schiener stated that Shimmer would improve IOTA's growth trajectory. However, since its launch last September 2023, Shimmer’s native crypto SMR has lost 93% of its value and is currently trading at a valuation of $7.5 million.

Shimmer Network's native SMR tokens facilitate seamless transactions on the platform and safeguard it against spam attacks by utilizing a storage deposit mechanism. This mechanism mandates that all data stored on the Tangle, including NFTs, SmartContract chain state anchors, and Native Assets, be backed by SMR tokens, according to a CNF report.

Moreover, using the SMR tokens, users can pay fees on the Layer 2 smart contract chains as well as on the decentralized exchanges (DEXs) and lending protocols. Despite this functionality, it failed to drive the demand for SMR tokens on the Shmmer EVM while failing to boost its utility beyond the Layer 1 network.

Ultimately, SMR tokens underpin Shimmer's continued innovation, laying a strong foundation for blockchain-based applications and fostering greater security and efficiency across the network, reported CNF.

Shimmer Community Backlash on the Rise

The recent delisting of SMR tokens by crypto exchange Bitfinex has led to a major community backlash on social media. Popular crypto handle Crypto Bratan stated that he lost more than 100,000 EUR by investing in SMR tokens. Notably, cryptocurrency exchange Bitfinex was the only popular exchange that traded Shimmer's native SMR tokens.

Crypto Bratan, who claims to have lost over €100,000 on $SMR, accused Dom Schiener, the founder of $IOTA and $SMR, of misleading investors. He expressed disbelief that people continue to support IOTA after the fallout with SMR. The delisting marks a significant setback for $SMR, raising questions about the future of the project and the trust in its leadership.

$SMR is getting delisted from Bitfinex, the only crypto exchange where it was listed.

It now seems that @DomSchiener, the founder of $IOTA and $SMR, has scammed me and others.

This is truly unbelievable. I’ve lost over €100,000 on $SMR.

How can people still believe in $IOTA… pic.twitter.com/KFrn91DKGf

— Crypto Bratan (@cryptobratan1) August 13, 2024

Guido Lange, founder of Block-duilder.de, also commented that Bitfinex's delisting of SMR isn't a big surprise since the crypto’s trading volume was almost nill. He added that the only exchange where SMR can not trade is MEXC; however, a $1K sell order could crash the price further by 60%.

Bitfinex decided to delist Shimmer, which isn’t a big surprise considering the current trading volume, market cap ($7M🤣) and liquidity. However, this is most likely the final nail in the coffin for $SMR. The only exchange left now is MEXC, but a $1k sell order there would bring… https://t.co/CtX8827RiO pic.twitter.com/5DEMJS2dLP

— Guido Lange (@GuidoLange) August 13, 2024