The StarkWare project, which specializes in layer-two scaling solutions, has confirmed the launch of the StarkNet network governance token.
The asset contributes to the decentralization of the network and is designed to fulfil three leading roles:
- participation in governance through staking;
- payment of commissions for transactions in StarkNet;
- application in the consensus mechanism.
The emission of ERC-20 tokens will amount to 10 billion coins. More than 50% of the proposal will go to the non-profit organization StarkNet Foundation, responsible for the ecosystem’s development. The rest will be distributed among investors and the project’s main participants.
“STARK technology is mature and secure, but StarkNet has not reached the status of a public good like Ethereum or the internet. For the network to achieve this goal, its management, operation and development must continue to be decentralized. This will be facilitated by two mechanisms: the StarkNet Foundation and the token,” the statement said.
In 2023, StarkWare will airdrop tokens among community members. The company said that the snapshot for distribution should be done before the public announcement. The team noted the desire to prevent the asset from falling into “weak hands.”
Recall that StarkWare raised $100 million in a Series D funding round in May. The startup was valued at $8 billion.