📰 Table Of Contents
Starknet’s STRK Token Distribution
Starknet, an Ethereum layer-2 scaling protocol, initiated the distribution of its native network token, the STRK token, on February 20. The launch of the provisions portal saw substantial uptake, with millions of tokens claimed.
Token Distribution and Demand
The newly released STRK tokens garnered significant demand, with 71% of available tokens claimed within the first 24 hours of the airdrop going live. Over 490,000 individual users claimed 420 million tokens, indicating robust demand.
Market Performance
Despite an initial price slump from a debut high of $5 to $1.77, positive funding rates in the futures market reflect bullish sentiment among investors. The token traded above $7 on Binance and exceeded $5 on KuCoin, with a market capitalization surpassing $2.1 billion.
Network Activity and User Base
Over 1.3 million wallets, including those of Ethereum solo and liquid stakers, Starknet developers and users, and projects outside the Web3 ecosystem, can claim the native token. During the peak of the airdrop claim frenzy, Starknet recorded a remarkable 1.06 million daily transactions, achieving a notable speed of 45.2 transactions per second, surpassing other layer-2 networks.
Token Utility and Trading Volume
STRK serves as the native token of Starknet, utilizing zero-knowledge cryptography to scale the Ethereum blockchain and reduce fees. The trading volume for STRK reached $1.6 billion over the past 24 hours, with open interest surpassing $150 million.
Developer Incentive Program
The Starknet Foundation announced a token provision and a developer incentive program, ensuring transparency and community participation. More than 700 million STRK tokens are allocated across nine categories, with a focus on governance, transaction fees, and future staking.
Network Development and Growth
In addition to the token provision, Starknet announced the “Devonomics” pilot program, allocating a portion of the network fees to decentralized app builders and infrastructure engineers through transparent and open voting processes. This initiative aims to empower developers and promote network growth.
Overall Network Performance
Starknet currently ranks as the ninth-largest layer-2 network by total value locked, showcasing significant growth since the beginning of 2023. The total value locked on Starknet stands at $137 million, indicating growing adoption and stability.
Ian is a cryptocurrency enthusiast blending humor with professionalism. With an engineering background and a storyteller's heart, he simplifies the blockchain world with sharp analysis and a touch of wit. At Cryptowire, he brings his unique perspective to make digital financial innovation accessible to all.
