Starknet

DeFi

Planet

USDC

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 Starknet’s airdrop might have triggered a decline in active users on the platform, especially due to criticism of the eligibility criteria and token distribution schedule. 
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The primary source of discontent seems to be the minimum wallet balance requirement to receive the STRK tokens. Some users have <a style="color: #0000ff;" href="https://twitter.com/Wutela2021/status/1759598403758309816?t=eurO6TdjjNsWVXI11qX8qQ&amp;s=19">voiced their frustration</a> that only those with a balance of 0.005 ETH or more on November 15 were eligible to receive tokens. This has led to the perception that the airdrop unfairly favours certain users over others. 
<blockquote class="twitter-tweet"> 
 I think the qualifications for rewarding community users this time are OK and fair. However, the only point of the project team, and the most unacceptable thing for all communities, is that the project team drained all the USDC LP and other assets in the account, resulting in the… 
 — 乌特拉 (@Wutela2021) <a href="https://twitter.com/Wutela2021/status/1759598403758309816?ref_src=twsrc%5Etfw">February 19, 2024</a>
</blockquote> 
<script async src="https://platform.twitter.com/widgets.js" charset="utf-8"></script> 
<a href="https://defi-planet.com/2024/02/starkware-to-launch-strk-token-distribution-on-february-20/">Following the announcement of the Starknet airdrop,</a> the number of active users on the platform dropped significantly. <a href="https://starkscan.co/stats#activity">Starkscan data</a> shows that as of February 19, there were only 84,260 active accounts, a 57% drop from the 196,910 active accounts on February 13.&nbsp; 
Starknet is not the only project that has done a retroactive airdrop with a delay between the snapshot and token release. <a style="color: #0000ff;" href="https://www.shrapnel.com/Shrapnel-White-Paper.pdf">In April 2023, the gaming project Neon generated 3 billion of its SHRAP tokens</a> on a private subnet on the Avalanche blockchain. However, these tokens were not tradable until November 2023, leading to some disappointment when they finally hit the market.&nbsp; 
Despite the recent decline in the number of active users on the platform, the total value locked (TVL) on Starknet remains near all-time high levels, currently sitting at around $186.8 million.&nbsp; 
STRK tokens <a style="color: #0000ff;" href="https://app.aevo.xyz/perpetual/strk">currently trade at $2.09 on Aevo</a>, reflecting a fully diluted market capitalization of $20.9 billion. However, the actual market capitalization may vary significantly once the token starts trading on exchanges. 
According to Starkware co-founder and CEO Eli Ben-Sasson, only 1.3 million recipients will get liquid tokens initially. However, <a style="color: #0000ff;" href="https://medium.com/@StarknetFoundation/introducing-the-starknet-provisions-program-05d03ce13970">those who have contributed to the project by building on Starknet or participating in the testnet will need to wait until April</a> for the first third of their tokens to be unlocked. <a href="https://docs.starknet.io/documentation/architecture_and_concepts/Economics-of-Starknet/">After that, more tokens will be unlocked monthly.</a> The airdrop distribution will involve 728 million STRK or 7.28% of the total supply.&nbsp; 
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The post <a href="https://defi-planet.com/2024/02/starknet-faces-backlash-over-airdrop-requirements-experiences-significant-drop-in-user-activity/">Starknet Faces Backlash Over Airdrop Requirements, Experiences Significant Drop in User Activity</a> appeared first on <a href="https://defi-planet.com">DeFi Planet</a>.

Starknet Faces Backlash Over Airdrop Requirements, Experiences Significant Drop in User Activity

DeFi Planet

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