Starknet token staking to start by the end of 2024

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As a seasoned crypto investor with a keen interest in layer 2 solutions and their potential impact on the blockchain ecosystem, I’m thrilled about StarkWare’s decision to introduce staking on the Starknet network. The planned rollout by the end of 2024 is an exciting development that could significantly enhance Starknet’s resilience and decentralization.

As a researcher studying the latest developments in the blockchain industry, I’m excited to share that StarkWare, the innovative team behind the zero-knowledge-based layer 2 network Starknet, has announced its intentions to implement staking by the end of 2024.

I analyze that the proposed move in Starknet aims to boost its robustness and dispersed nature. The initial staking phase, as outlined in the Starknet Improvement Proposal (SNIP) led by CEO Eli Ben-Sasson and his team, is scheduled to debut on the L2 network’s mainnet around Q4 2024, subject to community acceptance. A governance vote will be cast by the community to express their support for the proposal.

At the Ethereum Community Conference in Brussels, Ben-Sasson unveiled plans for a new proposal. This initiative invites users to function as stakers. In return, they will be compensated based on the quantity of STRK tokens they have committed with a mandatory wait of 21 days before accessing their funds again.

STRK tokens

As a crypto investor in Starknet, I can explain that the role of STRK tokens is twofold. Firstly, these tokens function as governance instruments, enabling me and other holders to cast our votes on significant proposals shaping Starknet’s operational decisions. Secondly, we utilize STRK tokens to cover transaction fees, ensuring the smooth running of the network.

In the near future, STRK’s functionality will expand to include staking, a vital component for critical Starknet services essential for its efficient operation and security. According to documents authored by Steve Goodman, StarkWare’s chief technical writer, in June 2024, staking services encompass various functions such as sequencing, temporary L2 consensus, STARK proving, and data availability provisioning.

StarkWare and the Starknet Foundation may have distinct identities, but their leadership circles overlap. Co-founders Eli Ben-Sasson and Uri Kolodny, who are additionally part of the Foundation’s board, do not manage its day-to-day activities.

As a researcher following the latest developments in the Starknet ecosystem, I’m excited to share that after distributing over 700 million STRK tokens through their substantial airdrop to approximately 1.3 million wallet addresses, the Starknet Foundation has made an announcement regarding staking. A testnet for this feature is anticipated to be launched soon, subject to approval. The mainnet rollout for staking is planned for the last quarter of 2024.

Slow staking approach

As a analyst, I’d describe it this way: StarkWare has laid out a gradual roadmap for staking, commencing with simple token holding as a foundation. Subsequently, we progress towards real-time attestations, and in the long run, advance to encompass full sequencing and validation tasks to ensure network security.

“Ben-Sasson noted that this step is significant in developing both the staking community and associated technology, providing fresh avenues for engagement for users and creators,” or simply, “Ben-Sasson emphasized the importance of this stage in growing the staking community and technology, bringing new possibilities to users and developers.”

Moving forward in its decentralized evolution, Starknet reaches a significant milestone with the integration of staking. This innovation is expected to enhance network security and foster greater community involvement.

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2024-07-10 17:16