Ethereum

Starknet’s active users have dropped significantly over the past seven days amid growing grievances over its Starknet Provisions Program airdrop.
The Ethereum layer-2 blockchain’s active users climbed from under 20,000 on Feb. 9 to a nearly three-month high of over 220,500 on Feb. 14, Starkscan <a href="https://starkscan.co/stats#activity" target="_blank" rel="noopener nofollow">data</a> shows, as users and <a href="https://cointelegraph.com/news/starknet-populated-airdrop-hunters-ahead-token-launch-report"></a><a href="https://cointelegraph.com/news/starknet-populated-airdrop-hunters-ahead-token-launch-report">airdrop farmers flocked to the network</a> hoping to get an allocation. 
However, after Starknet <a href="https://cointelegraph.com/news/ethereum-stakers-eligible-starknet"></a><a href="https://cointelegraph.com/news/ethereum-stakers-eligible-starknet">shared details for its airdrop</a> slated for Feb. 20, active users plummeted to near pre-announcement levels. On Feb. 19, the network saw just over 84,000 active accounts. 
<figure data-ct-non-breakable="true">
 <img src="https://s3.cointelegraph.com/uploads/2024-02/d364632d-88cd-4d11-a12d-146cee56f4b6.png" alt="" title="">
 <figcaption style="text-align: center;">
 A three-month chart of active Starknet accounts shows a spike before and after the network shared details of its token airdrop. Source: Starkscan
 </figcaption>
</figure>
Starknet users and its community have taken issue with airdrop criteria that saw users with under 0.005 Ether (<a href="https://cointelegraph.com/ethereum-price">ETH</a>) in their account on Nov. 15, 2023 — worth about $10 at the time — excluded from token distributions.
Multiple <a href="https://twitter.com/ahmetaverse1/status/1758530842924613964" target="_blank" rel="noopener nofollow">network</a> users on X and the project’s Discord <a href="https://discord.com/channels/793094838509764618/893514287887294526/1207341920783827004" target="_blank" rel="noopener nofollow">claimed</a> to have missed out on token distributions due to having <a href="https://twitter.com/MoneyKripto/status/1758576555423375407" target="_blank" rel="noopener nofollow">less</a> than the minimum amount in their wallet despite <a href="https://twitter.com/TrieuTuoi/status/1758528076273922540" target="_blank" rel="noopener nofollow">making</a> thousands of dollars worth of transactions and adding liquidity to the network.
In an X <a href="https://twitter.com/StarknetFndn/status/1759594536962003001" target="_blank" rel="noopener nofollow">post</a> on Feb. 19, Starknet said that it has seen the feedback that some network users “have been left out due to certain Provisions criteria,” and it is “working to address these concerns,” but it added that a resolution requires “time to research, design and test.”
Related: <a href="https://cointelegraph.com/news/verkle-trees-superior-ethereum-solo-staking-vitalik-buterin">Verkle trees promise superior Ethereum solo staking benefits, says Vitalik Buterin</a>
Another contentious detail is the token unlock <a href="https://docs.starknet.io/documentation/architecture_and_concepts/Economics-of-Starknet/" target="_blank" rel="noopener nofollow">schedule</a>, which rewards Starknet investors and early contributors with 1.3 billion STRK — about 13% of the total supply — on April 15, just two months after it launches.
In comparison, around 700 million STRK — about 10% of the total supply — is set for distribution on Feb. 20.
STRK is trading for up to $1.98 on pre-market perpetual exchanges <a href="https://app.aevo.xyz/perpetual/strk" target="_blank" rel="noopener nofollow">Aevo</a> and <a href="https://app.hyperliquid.xyz/trade/STRK" target="_blank" rel="noopener nofollow">HyperliquidX</a> — meaning its market capitalization could be around $1.38 billion at launch.
Despite its active users dropping, Starknet’s total value locked is $54.18 million, falling around 5.7% from its Feb. 14 all-time high of $57.5 million, <a href="https://defillama.com/chain/Starknet" target="_blank" rel="noopener nofollow">according</a> to DefiLlama.
Web3 Gamer: <a href="https://cointelegraph.com/magazine/notcoin-metalcore-beta-immutable-zkevm-heroes-mavia-web3-gamer/">Wen Notcoin listing? MetalCore beta &amp; more</a>

Starknet user numbers plummet as dissatisfaction grows over token drop

Cointelegraph

Other articles published on Feb 20, 2024

Massive Crypto Seizure Takes Place During LockBit Ransomware Takedown

Does Worldcoin (WLD) Have Competition With This New Palm-Recognition Project?

Starknet Confronts User Downturn Before Major Token Release

MANTA soars amid BNB Chain integration; Avalanche’s foot on the gas as investors swarm InQubeta p...

Ripple CTO Explains How 40.7 Billion XRP in Ecrow Can Be Burned

Ethereum’s Market Outlook and Price Predictions

Join our free newsletter for daily crypto updates!