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Starknet Users Plunged 90% Amid Change In Airdrop Eligibility Requirements

Starknet Users Plunged 90% Amid Change In Airdrop Eligibility Requirements

Starknet’s user count plunged by 90% in a week, from 226,000 to 25,000 as of February 20, 2024, after Starknet suddenly changed the requirements for receiving the token airdrop.

Frustrated users are heading for the exit after Starknet suddenly changed the requirements for receiving the token airdrop.

The project is set to airdrop 10% of the total token supply on February 20, with another tranche for early investors scheduled for April.

Starknet Users Drop 90% Amid Airdrop Eligibility Squabble

Starknet, an Ethereum layer 2 platform, is facing a significant exodus of users ahead of a major token airdrop. 

In just one week leading up to February 20, 2024, Starknet’s active user count nosedived and is back near long-term lows.

See Also: StarkNet Foundation Announces STRK Airdrop, Over 1.3M Wallets Eligible

This dramatic decline coincides with the platform’s preparation to distribute a substantial airdrop, raising questions and fuelling controversies among its user base.

Starknet Token Airdrop Flip-Flop

The core of the issue lies in the sudden amendments to the eligibility criteria for Starknet’s upcoming airdrop. 

Set for February 20, the airdrop aims to release over 700 million STRK tokens, equating to 10% of the total token supply. 

However, abrupt changes have ruffled the feathers of some users who became disqualified from receiving STRK tokens.

These included rectifications for over 900 ETH home validators and the distribution of over 6.9 million STRK to more than 1,000 solo stakers who were earlier misclassified. 

Furthermore, over 1 million STRK were preserved for potential future community allocation after addressing issues with squatters hoarding GitHub handles.

However, these changes have not been universally well-received. 

The crypto community has criticized Starknet’s eligibility prerequisites and the company’s approach to token unlocks. Starknet acknowledged the discontent, stating on X,

“We hear the feedback that some dedicated community members and network users have been left out due to certain Provisions criteria.”

It emphasized a commitment to finding a “meaningful resolution” but stated that this process, “requires time to research, design, and test.”

TVL Up, Users Down

Crypto commentator Banteg highlighted on X (formerly Twitter) that nearly 2,000 participants eligible for the airdrop either altered or deleted their accounts post-eligibility snapshot. 

This revelation first pointed to the potential squatting and gaming of the system and added another layer of complexity to the eligibility debate.

Starknet data platform Starkscan found that active users have dropped around 90% in just the past week alone. 

See Also: Solana-based Backpack Crypto Exchange Attains $1B Daily Trading Volume Just 5 Days After Pre-season Beta Launch

On February 13, the platform saw a massive spike to 225,000 active users. However, the herd quickly thinned out to just 25,000 at the time of press.

Despite these challenges, the platform’s total value locked (TVL) remains near all-time highs, around $185 million, underscoring the paradox of its current situation. 

The community’s frustration is palpable, with some users feeling sidelined by the recent eligibility changes, particularly those catering to specific staking validators.

As Starknet marches towards its scheduled public launch, the unfolding drama offers a stark reminder of the erratic and often unpredictable nature of crypto airdrops.

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Disclaimer: The information provided is not trading advice, Bitcoinworld.co.in holds no liability for any investments made based on the information provided on this page. We strongly recommend independent research and/or consultation with a qualified professional before making any investment decisions.