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Starknet Back to Business as Exchanges Prepare for STRK Token Launch

Published 20/02/2024, 13:55
Starknet Back to Business as Exchanges Prepare for STRK Token Launch

Coin Edition -

  • Starknet experienced a temporary surge in users’ post-airdrop announcements.
  • Community dissatisfied upon exclusion from Airdrop for specific ETH wallet criteria.
  • Starknet decides on another airdrop to address community concerns.

Starknet following its recent airdrop announcement, witnessed a surge in user activity for a brief time, only to return to its typical engagement levels later.

Initially peaking at 226,576 active addresses on February 14th, this spike reflects a momentary interest among users in response to the airdrop news. However, by February 19th, active addresses had settled back to 70,219, aligning with the network’s historical averages over the preceding three months.

Exchanges such as Binance, Okx, Kucoin, HT Global, Bybit official, Bitfinex, Mexc official, Gate.io, Bitmex, and Bitget global also confirmed the listing of Starknet Token (STRK)

Despite the return to normalcy after the airdrop, a broader examination revealed a gradual decline in user engagement over time. Historically, Starknet boasted over 100,000 active users from August to December 2023, surpassing current figures.

The Starknet community’s lack of support comes from instances of exclusion during the airdrop, notably due to the 0.005 ETH wallet minimum criteria imposed on November 15th, 2023. Members like “Umaykut” and “Gabrielwillian” expressed frustration at being ineligible despite their substantial contributions to the network.

Further context from L2BEAT indicates a decline in Starknet’s Total Value Locked (TVL), decreasing from 68,640 ETH on February 14th to 63,580 ETH, at the time of writing, equivalent to approximately $14.5 million at current prices. Additionally, Starknet ranks as the 11th-largest scaling solution for Ethereum, with a market share of only 0.69%.

Criticism increased due to the distribution of a significant portion of STRK tokens to Ethereum solo stakers, perceived by some as favoring wealthier and more technically proficient individuals. The primary developer firm behind Starknet, StarkWare’s Co-Founder and CEO Eli Ben-Sasson’s explanation on the Unchained podcast failed to address these concerns fully.

Regarding the short lockup period for STRK tokens, Ben-Sasson emphasized its non-standard nature but underscored its alignment with early plans for governance and payment utility, aiming for the project’s long-term success.

Nevertheless, the decline in active addresses may signify a departure of airdrop hunters, potentially keeping a more committed and authentic user base aligned with Starknet’s vision.

Additionally, the Starknet Foundation announced on Monday about distributing 40 million STRK tokens to DeFi protocols to address these community concerns.

The post Starknet Back to Business as Exchanges Prepare for STRK Token Launch appeared first on Coin Edition.

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