Starknet Fully Diluted Value Reaches $7B Within Minutes of Listing

Ethereum rollup Starknet soared to a fully diluted value (FDV) of $7 billion within a few minutes of its listing. The initial market cap started at an impressive $5.1 billion, setting the stage for a volatile and eventful opening.

Notably, Starknet initiated a distribution of 728 million tokens to approximately 1.3 million addresses, marking it as the largest airdrop of the year.

The token entered the market trading as high as $7 on Binance mere minutes after its release. However, in the unpredictable nature of its debut, the token saw a dip to $2.28.

It's crucial to note that the current market cap, calculated by multiplying the current circulating supply by the present price, stands at $1.663 billion.

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Token Distribution and Allocation

Over 1.3 million wallets are eligible to claim $STRK, encompassing Ethereum solo and liquid stakers, Starknet developers, users, and external Web3 ecosystem projects and developers. The distribution breakdown allocates 50.1% of $STRK's supply to the Starknet Foundation for community airdrops, grants, and donations.

Meanwhile, 24.68% will go to early contributors and investors, with an additional 32% assigned to StarkWare employees, consultants, and developer partners.

Real-time data showcased a rapid pace of airdrop claims, with eligible users securing more than 45 million $STRK tokens in the first 90 minutes of the allocation. The latest reports indicate that 104.7M $STRK tokens have already been claimed.

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Starknet's Userbase Dynamics

The stellar listing performance contrasts with Starknet's recent userbase fluctuations. After a surge to over 220,500 active users on February 14, attributed to anticipation around the Starknet Provisions Program airdrop, the network experienced a rapid decline.

Details of the airdrop, scheduled for February 20, triggered a 65% drop in the user base, settling at just over 84,260 active accounts on February 19.

The layer-2 scaling protocol has addressed concerns over eligibility criteria for the $STRK airdrop, as active users surged in anticipation of participating in the campaign.

As one of Ethereum's prominent Layer 2 solutions utilizing zero-knowledge (ZK) rollup technology, Starknet reportedly processes transactions and smart contract functions off-chain, providing cryptographic proofs to Ethereum for enhanced security guarantees.