Meme Coin Utility Takes a Giant Leap with DeFi Breakthrough

Generated by AI AgentCoin World
Thursday, Sep 4, 2025 9:29 pm ET1min read
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Aime RobotAime Summary

- Shiba Inu (SHIB) becomes first meme coin to enter cross-chain lending via Folks Finance, enabling yield generation and collateral use across 12 blockchains.

- Integration leverages Chainlink’s CCIP protocol to expand SHIB’s utility, with 10.93% APY offered and $25,000+ deposited in liquidity pools.

- Strategic incentives and ecosystem partnerships aim to boost DeFi adoption, aligning with SHIB’s shift from speculative asset to functional blockchain use cases.

- Price rose 1.13% post-announcement while stable token burns and Chainlink’s (LINK) price gain reflect growing infrastructure confidence.

Shiba Inu (SHIB) has become the first meme coin to enter cross-chain lending markets, marking a key development in its broader expansion strategy. The token was recently listed on Folks Finance, a leading decentralized finance (DeFi) protocol that enables lending and borrowing across multiple blockchain networks. This move allows

SHIB
holders to earn yields on their tokens or use them as collateral to borrow other digital assets, significantly increasing the utility of the meme-based cryptocurrency [1].

The cross-chain functionality is facilitated by Chainlink’s Cross-Chain Interoperability Protocol (CCIP), a standard that allows tokens to be transferred and utilized across various blockchains without fragmentation [2]. With this integration, SHIB becomes accessible across 12 different blockchain networks, including

Optimism
, Polygon,
Avalanche
, and Arbitrum. Folks Finance emphasized that SHIB is the "first meme coin with cross-chain lending markets," highlighting the milestone in DeFi adoption [3].

SHIB holders can now deposit their tokens into Folks Finance’s lending pools and earn an annual percentage yield (APY) of approximately 10.93% [2]. As of the latest data, users have supplied around $25,000 worth of SHIB into these pools, with roughly $2,000 used as collateral to borrow other assets. The protocol also announced incentives to encourage liquidity provision, signaling a strategic push to enhance the token’s utility and adoption [2].

The integration builds upon an existing partnership between

Shiba Inu
and
Chainlink
. Earlier in the year, three of the largest tokens in the
Shiba
Inu ecosystem—including SHIB, Doge Killer (LEASH), and Bone ShibaSwap (BONE)—adopted the CCIP standard. This move enabled broader token accessibility across multiple blockchain platforms, a foundational step for cross-chain functionality [3].

In response to the integration, Shiba Inu’s ecosystem team expressed enthusiasm, calling it a significant advancement for the project. The development aligns with growing efforts to expand the token’s use cases beyond speculation and into more functional DeFi applications. Additionally, SHIB’s adoption has seen recent growth, including the launch of a SEK-denominated exchange-traded product in four European markets [2].

While SHIB’s price saw a modest increase of 1.13% in the 24 hours following the announcement, token burn activity also remained stable, with approximately 71,685 tokens burned in the same period [3]. Meanwhile, Chainlink (LINK) showed a slight upward trend, trading at $23.51 and reflecting investor confidence in the expanding use of its cross-chain infrastructure.

Source:

[1] Shiba Inu Token Now Eligible For Cross-Chain Lending (https://finance.yahoo.com/news/shiba-inu-token-now-eligible-054047070.html)

[2] Chainlink Folks Finance Adopts Shiba Inu in Cross-Chain (https://thecryptobasic.com/2025/09/03/chainlink-folks-finance-adopts-shiba-inu-in-cross-chain-lending-markets/)

[3] Shiba Inu Becomes First Meme Coin on Major Cross-Chain (https://coinpaper.com/10863/shib-makes-history-as-first-meme-coin-to-join-major-cross-chain-de-fi-platform)