What is StarkNet? Solution to help scale on Ethereum
Recently, StarkNet received a lot of attention from the community when it conducted an airdrop for 1.3 million users with a total of 700 million STRK tokens. So what is StarkNet and what are its outstanding features? Let's find out in the article below:
What is StarkNet?
StarkNet is a Layer-2 Ethereum solution using ZK-Rollup technology. The project was built by StarkWare, a software company based in Israel. They specialize in making systems to secure information on the blockchain and improve its scalability.
The project first launched on the Ethereum network in June 2020. Before the Mainnet launch, the project processed more than 50 million transactions on Ethereum's testnet. It helps decentralized applications operate at scale while ensuring the security of the Ethereum network.
StarkNet is one of two prominent projects of StarkWare. It provides a Layer-2 solution for Ethereum using zk-rollup technology. Together with StarkNet, StarkWare has developed many products and technologies such as Cairo, SHARP, VeeDo, StarkEx, StarkNet and StarkGate.
StarkNet has a diverse ecosystem, attracting many developers to participate in building applications in many fields:
· DEX (Decentralized Exchange): Starkswap, Jediswap, ZKEX,…
· Lending: Aave, Maker DAO, Curve Zero, zkLend,…
· Infrastructure: Bridge, Explorer, Wallet,…
· Gaming/NFT (Game/NFT): Dope Wars, Influence, Realms, Game of Blocks, Eykar, bitmapbox, Phi Φ, The Ninth and some NFT market projects such as Oasis, Mint Square, NFTflow, Briq.
· StarkEx: StarkNet's version is fine-tuned for trading (L2 specifically), while StarkNet is the full, decentralized, permissionless version.
· Cairo: Generic programming language for StarkEx and StarkNet. All protocols and applications built on these two platforms use Cairo, although it is not compatible with EVM, which can be difficult for developers.
· SHARP: Is a system that allows aggregating different Cairo programs to create a proof for all of them, then uploading this proof to Ethereum to be verified by a STARK verifier, reducing gas costs of transactions.
· VeeDo: Trustless randomization can be verified using STARK technology, similar to Chainlink's VDF.
· StarkGate: Is a bridge developed by the StarkNet team, allowing users to convert assets between StarkNet and Ethereum as well as other layer 2 such as Polygon, Arbitrum and Optimism.
StarkNet Highlights
Cairo programming language: Is the main programming language in StarkNet, helping developers create and deploy decentralized applications and smart contracts in many fields.
Scalability: This is an outstanding feature that sets StarkNet apart from other projects in the same segment, this is done by creating off-chain STARK proofs and then validating them on the main Ethereum chain without does not affect security.
Developer support: Support developers by providing StarkNet tools and contracts, helping to deploy projects easily and efficiently.
ZK-Rollup technology: With this technology, StarkNet helps connect layer-1 and layer-2 simply and safely, optimizing the performance of the entire system.
StarkNet's current landscape
Token value locked (TVL)
According to data from DefiLlama, StarkNet's TVL is currently around 280 million USD, this figure is still quite far behind prominent names like Arbitrum, Optimism,..
Data on the Starknet network
Since the mainnet launch, StarkNet has recorded more than 1.2 million users bridging assets to the network with a total amount of up to 891 thousand ETH.
STRK token information
· Name: StarkNet
· Code: STRK
· Developed on the network: Ethereum
· Contract: 0xca14007eff0db1f8135f4c25b34de49ab0d42766
· Maximum total supply: 10,000,000,000 STRK
· Circulating supply: 728,000,000 STRK
STRK is the native token of Starknet and is used in the following cases:
· Governance: STRK token holders have the right to vote directly or via proxy on changes to the protocol to ensure the operation, security, and maintenance of Starknet.
· Transaction fees: STRK will be used to pay gas fees on Starknet in the future instead of using Ethereum (ETH) as currently.
· Staking: The staking mechanism helps ensure the security and stability of Starknet.
· Airdrop rewards: 7% of the total STRK token supply will be distributed via airdrop to users and developers who contribute to the project.
STRK token allocation
· Core team: 32.9%
· Advisor: 17.0%
· Grants: 12%
· Foundation: 10%
· Community Provisions: 9%
· Community Rebates: 9%
· Unallocated: 8.1%
· Donations: 2%
Development roadmap
Starknet's development roadmap in 2024 includes:
Improve network performance.
Integrate Ethereum's EIP-4844 to reduce Data Availability costs from the Starknet network to Ethereum.
Launched “Transactions fee market” so users can increase gas fees and make transactions faster.
Reduce transaction fees on the network through Volition mode.
Investors
StarWaves, the team behind the StarkNet project, has successfully called for 225 million USD from 4 different funding rounds with the active participation of investment funds such as: Paradigm, Sequoia Capital, Pantera Capital,...
STRK airdrop information
On December 1, 2023, StarkNet announced a limited time for snapshots to airdrop and after the limited time, subsequent user activities will not be recorded in the announced airdrop.
On February 14, 2024, StarkNet officially announced the airdrop to more than 1.3 million qualified user wallets with 700 million STRK tokens (equivalent to 7% of the maximum total supply).
StarkNet information channels
· Website
· Twitter
· Discord
Summary
Although still far behind the current prominent names Arbitrum, Optimism, zkSync, etc., with its technology and potential, StarkNet is a worthy option for market investment in 2024. .
However, this article is for information sharing purposes only, not for any other purpose. Therefore, this is not investment advice, you should do your own research.
