Gushiken Yona
Shiba Inu lead developer Kaal Dhairya gives a rare update on the SHI stablecoin, citing regulatory uncertainty as the reason for its delay — and reviving community interest in the final token of Ryoshi’s original vision.
Kaal — as the Shib Army fondly calls him — said Wednesday that the project is “waiting on clear stable coin regulations” before moving forward with SHI. He made the comment during a brief exchange on social media.
A user had asked, “Bro, if possible one question: any update about the stable coin Shi? Many thanks!”
Kaal’s response offered a rare, concise update on the status of SHI amid ongoing regulatory uncertainty.
SHI Stablecoin: Ryoshi’s Vision
The SHI stablecoin has been part of the Shiba Inu ecosystem’s long-term plan, originally outlined in writings attributed to the project’s pseudonymous founder, Ryoshi. In blog posts, Ryoshi described SHI with concepts like being an “algo-stable coin that always pegs to 1c,” meaning one U.S. cent.
The founder envisioned SHI evolving into a “global stable currency” usable by ordinary people (“plebs,” in Ryoshi’s phrasing) worldwide for both storing value and making payments. Stablecoins, in general, are digital assets designed to minimize price volatility.
They achieve this by pegging their value to another asset, often a major fiat currency like the U.S. dollar, through various mechanisms, including holding reserves or using algorithms. The goal is to combine the transactional efficiency of cryptocurrencies with the price stability of traditional money.
For SHI, the proposed $0.01 peg was intended to provide a stable unit of account within the Shiba Inu ecosystem, particularly on its Layer 2 network, Shibarium.
Shiba Inu Lead Dev Cites Regulatory Hurdles
The need for such stability within the ecosystem was previously highlighted by Shytoshi Kusama, Shiba Inu’s lead ambassador. In a blog post, Kusama explained SHI’s importance for practical applications, such as enabling businesses to manage invoices paid over extended periods or facilitating transactions that don’t settle instantly, like credit card payments.
The Shiba Inu lead dev’s comment places SHI squarely within the broader uncertainty around stablecoin regulation. Authorities in the U.S. and abroad continue to grapple with how to define, license, and oversee stablecoins. That has prompted caution across the industry — with many developers delaying launches until clearer rules emerge.
This uncertainty has prompted caution among some developers in the space, delaying the launch or full development of new stablecoin projects until clearer rules are established. The Shiba Inu lead dev’s comment suggests the Shiba Inu team is taking a similar stance regarding SHI.
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Yona has no crypto positions and does not hold any crypto assets. This article is provided for informational purposes only and should not be construed as financial advice. The Shib Daily is an official media and publication of the Shiba Inu cryptocurrency project. Readers are encouraged to conduct their own research and consult with a qualified financial adviser before making any investment decisions.
