Starknet, a prominent player in the Ethereum ecosystem, has made a significant move by launching its staking program for STRK tokens. This marks the first time an Ethereum layer-2 network is allowing staking for its users, providing an opportunity for token holders to participate in securing the network and earning rewards in return.
In this initial phase of the staking program, token holders with a minimum of 20,000 STRK tokens have the option to stake directly on the network. For those with fewer tokens, there is also the possibility to delegate their holdings to validators. However, both groups will be subject to a mandatory 21-day lockup period for unstaking, with rewards being distributed proportionally based on the amount staked.
Starknet is also encouraging participants to utilize staking-enabled wallets, which will help in expanding the adoption of staking among both institutional and retail investors. The CEO of StarkWare, Eli Ben-Sasson, emphasized the significance of this staking initiative, highlighting how it demonstrates the potential of blockchains to handle increased demand through rollups.
This recent milestone achieved by Starknet comes on the heels of the network processing 857 transactions per second, setting a new standard for Ethereum layer-2 solutions. Additionally, crypto investment firm Bitwise has joined as one of the early validators for Starknet’s staking program. Bitwise’s extensive experience in Ethereum staking through its Bitwise Onchain Solutions makes it a valuable addition to the validator pool.
Bitwise’s Chief Technology Officer, Hong Kim, expressed his excitement about the collaboration, praising Starknet for its contributions to scaling and security in the blockchain space. He highlighted the network’s use of ZK-STARKs and the Cairo programming language as innovative solutions that have benefited the Ethereum community. Bitwise sees Starknet as a strategic choice to further expand its staking products into layer-2 networks, aligning with the network’s vision of a more accessible and transparent internet.
Overall, Starknet’s launch of Ethereum layer-2 staking with Bitwise as an early validator represents a significant step forward in the evolution of the Ethereum ecosystem. It not only provides new opportunities for token holders to participate in securing the network but also showcases the innovative developments taking place in the blockchain space. With the support of experienced validators like Bitwise, Starknet is well-positioned to drive further growth and adoption in the coming months.
