What is Starknet ($STRK)? Unlocking the Power of STARK Technology

Discover the purpose, use cases, and community-driven distribution of Starknet's $STRK token and its role in Ethereum’s decentralized future.

What is Starknet and the STRK Token?

Starknet (STRK) is a permissionless, decentralized Layer 2 (L2) scaling solution built on Ethereum. Designed to tackle Ethereum’s scalability limitations, Starknet leverages advanced cryptographic technology known as STARKs (Scalable Transparent ARguments of Knowledge) to provide a highly secure and efficient zero-knowledge rollup (ZK-Rollup) framework. 

This allows decentralized applications (dApps) to significantly reduce gas fees and increase transaction throughput while preserving Ethereum’s core features of composability and decentralization.

At the heart of Starknet’s innovation lies the Cairo programming language, which powers the StarkNet OS and its smart contracts. Cairo enables developers to build scalable dApps with diverse business logic, enhancing flexibility and interoperability across the ecosystem.

The Role and Purpose of STRK in the Starknet Ecosystem

STRK, Starknet’s native token, plays a vital role in driving the decentralization and governance of the network. Initially distributed through the Starknet Provisions Program, STRK enables users to pay transaction fees, participate in governance, and eventually stake tokens in a decentralized proof-of-stake (PoS) model.

STRK Token Use Cases:

• Transaction Fees: Users can choose to pay network fees using STRK, offering an alternative to ETH.
  
   
• Governance Participation: STRK holders are empowered to vote on key protocol decisions, either directly or by delegating their voting power.
  
   
• Staking (Future Implementation): The Starknet Foundation plans to integrate a PoS model, allowing users to stake STRK to support network security and select decentralized sequencers.

Inside the Starknet Provisions Program: A Path to Decentralization

The Starknet Provisions Program represents the project's commitment to fair and transparent token distribution. This initiative allocates over 700 million STRK tokens to eligible users, builders, and community contributors in the initial phase, out of a total 900 million tokens set aside for the program. Any unclaimed tokens by June 20, 2024, will be reserved for future community-focused distribution events.

With a long-term goal of distributing 1.8 billion STRK to the community, the Starknet Foundation aims to reward meaningful contributions through rebates, gaming initiatives, DeFi involvement, and other community-based activities. Importantly, the Foundation remains the only legitimate entity overseeing STRK distribution—any other claims are considered scams.

Who Is Eligible for STRK Token Allocation?

Eligibility for STRK through the Provisions Program is based on significant contributions to the Starknet ecosystem, Ethereum, and open-source technology. The Starknet Foundation categorizes contributors as follows:

Recognized Contributor Groups:

• Starknet Users and Developers: Individuals actively using and building on the Starknet stack.
  
   
• StarkEx dApp Users: Early adopters of StarkEx applications who helped test core technologies.
  
   
• Ethereum Contributors: Developers, solo stakers, and authors of Ethereum Improvement Proposals (EIPs), whose foundational work underpins Starknet’s success.
  
   
• Open-Source Developers: Creators of public goods in tech and software development, whose work enabled the creation of STARKs and blockchain technologies.
  
   

This diverse eligibility highlights Starknet’s inclusive approach, recognizing contributions both within and beyond the crypto space.

Criteria and Tiering for STRK Distribution

To ensure fairness and avoid exploitation, the Starknet Foundation implemented strict tiering guidelines for STRK allocation:

• For Starknet Users: Tiers were based on usage metrics including transaction volume, contract interactions, and duration of activity.
  
   
• For ECMP Recipients (Early Community Member Program): Evaluation was based on reach, importance, originality, and overall effort, including community-building and innovation.
  
   

This multi-tiered approach aligns with Starknet’s mission to foster genuine growth and engagement across its ecosystem.

Why Ethereum Stakers and Open-Source Developers Were Included

In a notable industry first, Starknet extended STRK allocation to Ethereum stakers—especially those who supported the network pre-Merge. This decision honors their faith in Ethereum’s transition to PoS and recognizes their contribution to its security, which directly benefits Starknet.

Likewise, open-source developers outside of crypto received allocations as a tribute to their foundational work. Starknet’s entire infrastructure builds upon decades of open-source advancements, and the Foundation aims to give back to these digital pioneers.

Starknet’s Broader Technological Ecosystem

Beyond the STRK token, Starknet is an all-encompassing platform equipped with resources such as full nodes, APIs, oracles, and wallets like Argent and Trust Wallet. Its seamless support for cross-chain functionality and real-time data access positions it as a leading solution in the evolving blockchain landscape.

With the power of the STARK proof system and Cairo at its core, Starknet empowers developers and users to build scalable, secure, and innovative decentralized applications—ushering in the next era of Ethereum scalability.

Current Market Stats for STRK (as of April 2025):

• Market Cap: $392.13 million
  
   
• Volume (24h): $22.75 million
  
   
• Fully Diluted Valuation (FDV): $1.34 billion
  
   
• Volume/Market Cap (24h): 5.77%
  
   
• Total Supply: 10 billion STRK
  
   
• Max Supply: 10 billion STRK
  
   
• Circulating Supply: 2.9 billion STRK

What Key Events Have Shaped Starknet ($STRK)?

Starknet, a permissionless decentralized Validity-Rollup—also known as a ZK-Rollup—operates as a Layer 2 (L2) network on Ethereum. By using the cryptographic STARK proof system, it allows decentralized applications (dApps) to achieve massive computational scalability without sacrificing Ethereum’s composability or security. 

Over time, Starknet has gone through several critical milestones that have defined its growth and expanding role within the broader blockchain ecosystem.

STRK Governance Vote

A pivotal moment for Starknet was the launch of its governance vote, marking a step toward decentralization. This vote allowed the community to influence development priorities and network policies. It empowered STRK token holders to engage in decision-making, aligning with Starknet’s vision of a more democratic, community-led network.

STRK Staking

Another major milestone was the introduction of staking. This mechanism enabled users to lock up their STRK tokens to support network operations in exchange for rewards. Staking not only incentivized user participation but also enhanced the network’s security by encouraging long-term commitment.

Starknet Education

To support developers and promote ecosystem education, Starknet released the Starknet Book and comprehensive Cairo documentation. Cairo is the programming language used to write Starknet contracts and operate the Starknet OS. These resources made it easier for developers to build on the platform, providing in-depth guidance on architecture and functionalities.

Starkent Community Conference and Summit

Community events have also played a vital role. Conferences such as the Starknet Community Conference and Starknet Summit brought together developers, industry leaders, and enthusiasts. These gatherings foster collaboration, highlight new innovations, and help forge strategic partnerships across the Web3 space.

Hackathons, such as the Starknet Tokenbound Hackathon and Starknet CC India, have been instrumental in pushing the boundaries of what can be built on Starknet. These events served as launchpads for fresh ideas, enabling developers to test and showcase their skills while contributing to the network’s growth.

Starknet has also run promotional events, including airdrops and global meetups like the one held in Madrid. These initiatives aimed to expand awareness and encourage user onboarding, driving adoption and strengthening Starknet’s presence worldwide.

The official Starknet website remains a central hub for updates, developer documentation, and community activities. From airdrops to hackathons, users can find everything they need to stay informed and involved with the ecosystem.

Who Are the Founders of Starknet?

Starknet was developed by some of the most respected names in the cryptographic and blockchain space. The team includes Eli Ben-Sasson, a co-inventor of STARK technology with a background in theoretical computer science; Michael Riabzev and Alessandro Chiesa, both of whom specialize in cryptographic proofs; and Uri Kolodny, who oversees operational and strategic functions. 

Together, this founding team combines deep technical knowledge with strategic foresight.

FAQ

1. What is Starknet (STRK)?

Starknet is a Layer 2 Ethereum scaling solution using ZK-Rollup technology powered by STARK proofs to improve scalability without compromising security.

2. What is the STRK token used for?

STRK is used for staking, governance voting, and incentivizing participation in the Starknet ecosystem.

3. Who founded Starknet?

Starknet was founded by Eli Ben-Sasson, Michael Riabzev, Uri Kolodny, and Alessandro Chiesa—experts in cryptography and blockchain tech.

4. How can I get involved with Starknet?

You can join community events, stake STRK tokens, build dApps using Cairo, or participate in hackathons and governance decisions.