Starknet’s STRK Token: Airdrop Creates Unprecedented Activity
Starknet’s native STRK token has seen a surge in activity as the largest airdrop of the year distributed millions of tokens to over 1.3 million addresses. The token’s value skyrocketed to $7 on Binance, with a fully diluted value of $50 billion and an initial market cap of $3.64 billion.
Unprecedented Activity
Starknet’s airdrop of STRK tokens attracted significant attention, with eligible users claiming over 45 million tokens shortly after the allocation began. Trading of STRK began on popular exchanges, and its pre-launch futures reached $1.80. However, the token experienced a retracement and is currently trading at $1.90.
Airdrop Users Cashing In
Airdrop recipients took advantage of the hype surrounding STRK and sold substantial amounts of their holdings. Flow Traders, a liquidity provider, sold 653,000 tokens for $2.48 million, and Nethermind, a research solution provider, sold 700,000 tokens. These selloffs were expected given the anticipation surrounding the airdrop.
Selloffs Not Unexpected
The STRK token has an initial supply of 10 billion tokens, resulting in a fully diluted value of $35 billion. However, the current market capitalization is $2.32 billion. A significant portion of tokens has been allocated to community airdrops, early investors, and development partners. The selloffs by recipients are a common occurrence following the launch of highly anticipated airdrops.
Hot Take: STRK Airdrop Generates Frenzy, but Market Volatility Persists
The airdrop of STRK tokens created a frenzy, with users quickly claiming millions of tokens. However, the initial excitement subsided as the price experienced a significant retracement. While selloffs by airdrop recipients were expected, the market will likely continue to be volatile. As a crypto enthusiast, you should closely monitor the STRK token’s performance and consider the implications of large-scale token distributions and subsequent selling pressure in the market.
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