Starknet announces first phase of staking

Starknet has launched its first staking phase in its transition to a fully decentralized proof-of-stake network.

On September 25, the zero-knowledge aggregation layer 2 network announced the start of Starknet (STRK) staking. The platform also confirmed that staking on the layer 2 network will be completed by the end of the year.

Starknet announced in a post on X that both the testnet and mainnet of the first phase will be available in the fourth quarter of 2024.

First Starknet governance vote

Starknet, which announced plans to enable staking on Ethereum’s (ETH) layer 2 network by the end of the year in July, acknowledged that the transition to a fully decentralized proof-of-stake network would take time.

The first phase of STRK staking comes after a community management vote on the proposal was accepted earlier this month.

The vote marked the first governance process for Starknet token holders since the token airdrop in February 2024. Notably, the confirmation of the vote introduced Starknet’s token minting curve, a step that paved the way for the launch of staking rewards in this first phase.

Starknet’s minting curve is designed to provide future incentives for token holders to participate in network security through staking while managing inflation. The model balances staked tokens and rewards – as more tokens are staked, the staking reward decreases.

In its progressive staking model, Starknet plans to evolve basic token staking into more complex functionality. This will include the adoption of real-time attestations and full staking and proof of stake.