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Starknet

STRK · Field entry
Scaling / Layer 2Smart contracts

Ethereum layer 2 that uses STARK proofs; STRK pays fees, secures staking and votes

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$0.104140.15%Snapshot · October 10, 2026 · updates live
Market cap
$772.00M
24h volume
$605.64M
Rank
#93
Circulating
7.42B STRK
Max supply
10.00B STRK
All-time high
$4.41 February 20, 2024

STRK price chart

7-day snapshot. Chart data from CoinGecko.

What is Starknet?

Starknet is a layer 2 network that runs transactions off Ethereum's main chain and then proves they were processed correctly with a type of zero-knowledge proof called a STARK. STRK is its native token: since September 2025 it is the only token accepted for network fees, and it is also used for staking and for votes on major protocol upgrades.

Utility Lens

What Starknet actually does

Makes Ethereum-secured transactions cheaper by batching them and proving them with STARK proofs; STRK pays the fees, backs staking and carries governance votes.

Real-world usage
earlyStarknet has operated since 2021 and secures a few hundred million dollars of assets, but its daily activity is small next to the largest layer 2 networks.
Token necessity
integralSTRK is the only accepted fee token and the main staking asset, but Starknet ran on ETH fees until 2025, so other designs are clearly possible.
Decentralization
moderateEthereum checks a validity proof for every state update and L2BEAT rates it Stage 1, but StarkWare runs all three sequencers and the prover, and L2BEAT flags that Starknet's Security Council can push contract upgrades through instantly, while routine upgrades wait 8 days.
Track record
provenMainnet launched in November 2021 with no reported loss of user funds from the protocol, but outages on September 2, 2025 and January 5, 2026 halted the chain and reverted transactions.

How we rate

What it’s used for

People bridge ETH, stablecoins and wrapped bitcoin to Starknet to trade, lend and use perpetual futures apps at lower cost than on Ethereum. Every transaction fee is paid in STRK, although apps can use paymasters to cover it for users. Holders can stake STRK, or stake wrapped bitcoin, with validators to earn STRK rewards, and token holders vote on major Starknet upgrades.

Role of the STRK token:

gasstaking securitygovernance

Evidence of real use

  • Starknet's documentation says STRK has been the only accepted fee token since v0.14.0 shipped on September 1, 2025. Source
  • L2BEAT classifies Starknet as a Stage 1 ZK rollup that uses Ethereum blobs for data availability, with ETH and STRK listed as gas tokens. Source
  • Grinta (v0.14.0) moved Starknet from one sequencer to three running consensus, but all three are still operated by StarkWare. Source
  • Bitcoin staking on Starknet lets holders stake wrapped BTC for STRK rewards; staked bitcoin is capped at 25% of consensus power under the approved SNIP-31 proposal. Source
  • Starknet v0.14.4 went live on mainnet on October 5, 2026, letting a single proven transaction cover up to 1.1 billion L2 gas. Source

How Starknet works

Starknet is a validity rollup, also called a ZK rollup. Its sequencers collect transactions, put them in order and execute them off Ethereum. A prover then creates a STARK proof showing the batch was handled correctly, and a contract on Ethereum checks that proof before accepting Starknet's new state. Because the proof is checked up front, withdrawals do not need the week-long challenge window used by optimistic rollups. Starknet posts the resulting state changes to Ethereum as blobs or calldata, so anyone can rebuild the chain's state. Since October 2025 the proofs have come from StarkWare's newer Stwo prover.

Starknet does not run the Ethereum Virtual Machine. Smart contracts are written in Cairo, a language built to be easy to prove, and every account is itself a smart contract. That lets wallets add features such as alternative signature schemes without a network-wide fork. In July 2026 a research account, not yet audited, sent funds on Starknet mainnet after switching to Falcon-512, a signature scheme built to resist quantum computers. The trade-off is that developers coming from Ethereum need new tools and a new language.

STRK pays every transaction fee and is staked with validators, who attest to blocks and earn newly minted STRK. Wrapped bitcoin can also be staked, but it is capped at a quarter of consensus power. Since September 2025 three sequencers take turns producing blocks, though StarkWare still runs all of them. Token holders approve major upgrades through governance votes. In October 2026 StarkWare's CEO said Starknet is considering becoming its own layer 1 chain to adopt quantum-resistant cryptography faster; no proposal or vote had been published as of October 10, 2026.

Key moments

  1. 2021Starknet's alpha mainnet launches on Ethereum in November, built by StarkWare.
  2. 2022StarkWare creates 10 billion STRK tokens, which are minted onchain in November.
  3. 2024STRK becomes claimable on February 20 after a disputed airdrop; STRK staking opens in November.
  4. 2025Grinta adds three sequencers and makes STRK the only fee token in September; an outage forces two reorgs, and bitcoin staking and the Stwo prover follow.
  5. 2026A January outage reverts 18 minutes of activity; v0.14.4 ships October 5 and StarkWare's CEO raises a possible move to a layer 1.

Supply

StarkWare created 10 billion STRK, with about 38% going to early contributors and investors and most of the rest to the Starknet Foundation, grants and community programs. Insider tokens unlock in monthly tranches of up to 127 million STRK on the 15th of each month through March 15, 2027. New STRK is also minted as staking rewards on a community-approved curve that StarkWare's original proposal capped at 4% a year, so total supply grows over time and there is no fee burn.

Risks to understand

  • Centralized operation: StarkWare runs all three sequencers and the prover, so it can delay or censor transactions, and L2BEAT notes that Starknet's Security Council can push contract upgrades through with no delay, even though routine upgrades wait 8 days.
  • Reliability: outages in September 2025 and January 2026 halted the chain and reverted user transactions that had to be resubmitted.
  • Strategy change: StarkWare is publicly weighing a move from Ethereum layer 2 to its own layer 1, which would change where Starknet's security comes from; no plan or vote existed as of October 10, 2026.
  • Supply growth: monthly insider unlocks continue until March 2027, and staking rewards add newly minted STRK.
  • Developer and liquidity competition: Cairo is a separate language from Ethereum's Solidity, and Starknet competes with larger EVM-compatible layer 2 networks for apps and users.

Starknet FAQ

Do I pay fees on Starknet in ETH or STRK?

In STRK. Since the v0.14.0 upgrade in September 2025, STRK is the only token the network accepts for fees, although some apps cover fees for you through a paymaster.

Is Starknet leaving Ethereum?

Not as of October 10, 2026. StarkWare's CEO said on October 8 that becoming a layer 1 is one option being considered for faster quantum-resistance upgrades, but no proposal, vote or timeline has been published.

Can I stake bitcoin on Starknet?

Yes, using approved wrapped versions of bitcoin on Starknet, which earn STRK rewards. Wrapped bitcoin adds bridge and custody risk, and staked bitcoin is capped at 25% of consensus power.

Why have Starknet transactions been reverted?

During outages on September 2, 2025 and January 5, 2026, sequencer problems and software bugs led to blocks that Starknet's proving layer could not accept, so the team rolled the chain back and users had to resubmit affected transactions.

Sources

  1. STRK — Starknet documentation
  2. Starknet — L2BEAT
  3. Starknet Grinta: the architecture of a more decentralized future — Starknet
  4. Starknet incident report — September 2, 2025 — Starknet
  5. Starknet incident report — January 5, 2026 — Starknet
  6. How Starknet can upgrade for quantum resistance — Starknet
  7. Starknet v0.14.4 goes live on mainnet with bigger proofs and gas tweaks — Crypto Briefing
  8. Ethereum L2 Starknet Jumps 20% After Saying It Wants to Become an L1 — Decrypt

Last reviewed October 10, 2026. Written by . Utility Lens ratings are editorial judgments, not investment advice. Market data from CoinGecko. Spot an error? Request a correction.

About the author

Dave McNaught has worked in IT since 1999 and founded All Business Technologies (ABT) in 2003, a Boston-area firm providing Managed IT, Cybersecurity, Managed AI, Web Design and App Development. He publishes The Crypto Guide.

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