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 data shows, as users and airdrop farmers flocked to the network hoping to get an allocation.

However, after Starknet shared details for its airdrop slated for Feb. 20, active users plummeted to near pre-announcement levels. On Feb. 19, the network saw just over 84,000 active accounts.

Chart

A three-month chart of active Starknet accounts shows a spike before and after the network shared details of its token airdrop. Source: Starkscan

Starknet users and its community have taken issue with airdrop criteria that saw users with under 0.005 Ether (ETH $2,913) in their account on Nov. 15, 2023 — worth about $10 at the time — excluded from token distributions.

Multiple network users on X and the project’s Discord claimed to have missed out on token distributions due to having less than the minimum amount in their wallet despite making thousands of dollars worth of transactions and adding liquidity to the network.

In an X post 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.”

Another contentious detail is the token unlock schedule, 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 Aevo and HyperliquidX — 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, according to DefiLlama.


Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers.

Join Telegram

Recommended content


Recommended Content

Editors’ Picks

Ripple extends gains by 5% on Friday as CEO hints at institutional crypto products with CME XRP-Dollar index

Ripple extends gains by 5% on Friday as CEO hints at institutional crypto products with CME XRP-Dollar index

Ripple (XRP) traders’ sentiment turned positive on Friday, as CEO Brad Garlinghouse highlighted the addition of XRP-Dollar reference rate and indices to the CME Group and CF Benchmarks. 

More Ripple News

Worldcoin crumbles under selling pressure even as OpenAI eyes human-level problem-solving

Worldcoin crumbles under selling pressure even as OpenAI eyes human-level problem-solving

OpenAI, the American tech firm behind the Large Language Model ChatGPT, announced five levels towards building an Artificial General Intelligence (AGI). Employees at the firm told Bloomberg that with ChatGPT, Open AI is currently at level one. 

More Worldcoin News

VeChain break above descending trendline sparks rally speculation

VeChain break above descending trendline sparks rally speculation

VeChain price breaks above the descending trendline, suggesting a bullish move. Sideline buyers can accumulate VET between $0.0247 and $0.0239. A daily candlestick close below $0.0204 would invalidate the bullish thesis.

More VeChain News

Bitcoin Weekly Forecast: Investors wonder if BTC troubles are behind

Bitcoin Weekly Forecast: Investors wonder if BTC troubles are behind

Bitcoin (BTC) stabilized around the $57,000 mark this week, while the German Government persists in transferring Bitcoin to exchanges. Concurrently, US spot Bitcoin ETFs have recorded inflows. 

More Bitcoin News

Bitcoin: Investors wonder if BTC troubles are behind

Bitcoin: Investors wonder if BTC troubles are behind

Bitcoin (BTC) stabilized around the $57,000 mark this week, while the German Government persists in transferring Bitcoin to exchanges. Concurrently, US spot Bitcoin ETFs have recorded inflows. On-chain analytics indicate that whales are accumulating BTC during dips, potentially foreshadowing an imminent rally in the days ahead.

 

Read full analysis

BTC

ETH

XRP