Starknet is a platform that speeds up transactions on Ethereum. In technical terms, it is called a layer-2 scalability solution. Starknet bundles the transactions on Ethereum and does them batch-wise off the mainnet.
Starknet is a zero-knowledge (ZK) roll-up, meaning that the platform allows the verification of data without disclosing its content. The STRK token powers the Starknet platform. STRK is the default means of exchange in the Starknet ecosystem and is also used for staking and governance of the platform.
In this article, I will explain to you the features of the Starknet platform and the underlying economics of its gas token, STRK.
We will also take a brief look at the recent airdrop of the Starknet token and discuss its investment potential. Let’s dive right into it now.
Starknet Major Features
| Exceptional Scale | Starknet uses the STARK technology to validate off-chain transactions using cryptography without compromising data privacy. |
| User Experience | StarkNet employs a technique called, native account abstraction. Here all the accounts in the platform are made smart accounts wherein their behavior is determined by their developers rather than at the protocol level. |
| The Ecosystem | StarkNet has a thriving ecosystem that is fueled by a developer community, loyal users, and partners. |
| Promotes Creativity | With Cairo, Starknet’s native smart contract language, developers can code even the most complicated business logic. |
| The Appchains | StarkNet offers customized instances of StarkNet, known as Appchains, which allow the integration of distinct features and tailored network configurations. |
Starknet Airdrop
The Starknet Foundation concluded its mammoth airdrop program yesterday, February 20th. The event distributed 728 STRK tokens to 1.3 million eligible addresses. At one point in the highly volatile opening day, the token was trading at $5 on KuCoin.
Starknet (STRK) Tokenomics
STRK has a total supply of 10 billion tokens of which only 728 million have been brought into circulation in the airdrop.
50.1% of the total supply is reserved for community airdrops, grants, and donations.
Another 24.68% will be distributed to early contributors and investors while StarkWare employees, consultants, and developers will get 32% of the supply.
The tokens are scheduled to be unlocked month after month for 31 months starting from April.
Starknet (STRK) Past Performance
Starknet token started trading at $2.39 and steadily moved up to $3.66. Though prices did go above this price, the volumes were negligible.
However, less than an hour from the debut, STRK found a gradual way down hitting a low of $1.86 where it is now. The cryptocurrency has a significant $1.8 billion 24-hour trading volume.
STRK currently constitutes a $1.2 billion market capitalization with a fully diluted market cap of over 18 billion.
Starknet (STRK) Price Prediction
As I have mentioned, STRK debuted on exchanges less than 24 hours ago. Though the prices showed an uptick, after briefly touching a high point of $5, it has come down and settled at around 25% less than the opening price.
However, considering the hype behind the airdrop and the real utility of the underlying platform, STRK remains a promising cryptocurrency. The ongoing crypto bull run also adds fuel to the fire.
Though we have now entered the realms of speculation, it’s thought that STRK’s price will soon rebound to the previous high of $5 and break the $10 barrier in March of this year.
Where to Buy Starknet (STRK)
Currently, you can buy STRK from the following centralized exchanges (CEX).
How to Buy Starknet (STRK)
Follow these steps to buy Starknet tokens from OKX. If you prefer another platform from this list, the procedure is pretty much the same.
- If you don’t already have one, create an account on OKX. Give your basic details and verify your credentials.
- Load your OKX account with a fiat currency, say US dollars via credit card or bank transfer.
- Hover over to the trading section and buy USDT. Just search USDT and click ‘buy’. Click ‘confirm’.
- Now, search for the STRK/USDT trading pair on the search box with the ‘spot’ option.
- Select ‘market’ as your order type, enter the number of tokens you want to purchase, and hit ‘buy’. Hit ‘confirm’.
- Check your OKX wallet to find your STRK tokens.
Conclusion
Starknet solves the scalability problem of Ethereum without compromising its security.
In the context of the migration of the second largest blockchain from the PoW mechanism to PoS and the continuing adoption of layer-2 solutions, Starknet is continuing to gain popularity.
When STRK was launched yesterday, the token piqued a significant investor interest and continues to trade at high volumes and is expected to join the ongoing crypto bull rally.
That said, I want to stress that cryptocurrencies are highly volatile and considered a high-risk investment. The reader is suggested to do independent research before diving into investing in such asset classes.
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