Starknet’s Native Token STRK Begins Trading on Centralized Exchanges
Starknet’s native token STRK is set to start trading on centralized exchanges today after distribution claims for nearly 1.3 million wallets opened. Once liquidity requirements are met, trading will begin on exchanges such as Binance, Bybit, Bitfinex, and OKX. Binance has confirmed that it will open trading for select pairs at 8 a.m. ET.
Starknet is an Ethereum Layer-2 network that utilizes a ZK-Rollup solution for scaling decentralized applications. The STRK token will play a role in decentralizing and governing the network, according to the token provisions plan announced by the Starknet Foundation.
The distribution involves 728 million STRK, or 7.28% of the total supply, with 1.297 million eligible wallets identified from a November snapshot. Early users of Starknet and StarkEx, Ethereum contributors, and open-source developers are all eligible to receive the STRK token.
Despite criticism surrounding the unlock event, where core contributors and investors will receive over 1.31 billion STRK (13.1% of total supply), Starkware is adhering to its plan.
The Criticism Around Token Unlock
The upcoming unlock event has faced criticism due to the significant portion of investor tokens being unlocked less than two months after the token’s launch. Some have called it “predatory” and criticized the timing of the unlock.
The token was initially created for governance purposes but restricted from being moved or traded until now. The unlock schedule was misunderstood, leading to backlash when core contributors and investors were scheduled to unlock their tokens earlier than anticipated.
Additionally, some Starknet users found themselves excluded from receiving tokens due to the requirement of holding 0.005 ETH at the time of the November snapshot. Despite the backlash, Starkware is sticking to its plan.
Starkware co-founder and CEO Eli Ben-Sasson explained that recipients will receive liquid tokens upon receipt, while others who contributed to Starknet’s development will have their tokens unlocked gradually starting in April.
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