Shiba Inu has announced the launch of internal investigations into alleged rug-pulls previously reported in the ecosystem. This investigation will be carried out by the Shibarium development team as part of plans to get into the bottom of the growing unease amongst ecosystem users. 

This move also comes just days after Shiba Inu launched its tiered-decentralized autonomous organization (DAO). Namely ShibDAO, the organization is set to help the ecosystem take a big step towards decentralization. 

Shibarium’s Investigation into Previous Rug Pulls 

Shibarium, a layer-2 blockchain solution for the Shiba Inu ecosystem, has faced heightened mistrust by users in recent times. According to users, the network has been full of bad actors who take advantage of the ecosystem while undermining its core functionalities.

But as confirmed by Davinci, a core Shibarium contributor, in a post on X on May 31, the development team has started a probe into the matter. 

“We are investigating past rugs connected to certain groups within Shibarium. Mocking Shibarium, yet still feeding off it — parasites linger,” Davinci posted. 

The Shibarium contributor also confirmed that the core purpose of the investigation is to expose the bad actors. Shibarium’s team will thus publish any substantial findings from the investigations. But, if nothing substantial is found, the team will not be taking further action.  

If we find something, we’ll publish it.
If we don’t have enough receipts, we’ll let it go — sadly, so stay laser focused.

— Davinci.Shib | Shibarium (@DavinciShib) May 31, 2025

Shiba Inu’s Marketing Lead Had Warned Users

Shibarium’s probe into the matter aims to restore trust among Shiba Inu ecosystem users after potential scams by internal entities. The SHIB team has been warning community members of the potential malicious activities. 

In one instance, Lucie – the Marketing Lead at Shiba Inu, warned users of the increasing attempted scams on the ecosystem. Lucie suggested that bad actors have been hijacking social media to promote fake projects. 

“Be careful — scammers are everywhere, and misinformation spreads quickly, even in the media. X accounts can be hacked or stolen — you never truly know who’s behind them, even if they have a yellow badge,” Lucie wrote on May 21. 

She further stressed that Shibarium users should verify information via the official SHIB sites as bad actors act without any moral responsibility. In fact, in late April, Kaal – a SHIB enthusiast – shared an instance of fake Treats on Solana. 

Shiba Inu Launches DAO 

Prior to the Shibarium internal investigations, Shiba Inu also made a step towards ensuring more decentralization. As announced on X on May 29, the ecosystem launched its DAO. This organization will help ecosystem users to vote on new proposals and upgrades. 

Shiba inu’s doggy DAO will comprise four tiers. These include the Shib DAO, Bone DAO, Leash DAO and the Treat DAO. Each of these will have a specific responsibility aimed at boosting decentralizations. 

For instance, the Shib DAO will oversee all community projects including charity, UX, and even the events. The Bone DAO will be in charge of voting on the Shibarium upgrades and development proposals while the Leash DAO will spearhead resolution of governance disputes. And finally, the Treat DAO will fund Shibarium innovation and development of decentralized applications (dApps). 

Shiba Inu Introduces Updated Staking System – Bury 2.0

Besides the DAO, Shiba Inu also launched Bury 2.0, a staking system for the ecosystem. This updated staking system will allow holders to lock all the four Shiba Inu tokens namely SHIB, BONE, LEASH and TREAT allowing them to gather voting power. 

“On-Chain Staking (Bury 2.0): Stake SHIB, BONE, LEASH, or TREAT to gain influence. The more & longer you stake, the more voting power you earn,” Shibarium stated.

Shiba Inu’s launch of the DAO and Bury 2.0, as well as the investigation into the prospected internal scams signifies a focus on bolstering trust and decentralization. Moving forward, the new upgrades could have a huge impact on Shina Inu (SHIB) as well as other coins on the ecosystem.