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DeFi researcher highlights Starknet STRK: One of the best Layer 2 token economies, bullish on early high staking yields

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DeFi researcher highlights Starknet STRK: One of the best Layer 2 token economies, bullish on early high staking yields

DeFi researcher Ignas is optimistic about the initial staking rewards brought by the launch of Starknet's STRK token airdrop. He believes that STRK shares more similarities with L1 layer tokens, providing a clearer value proposition than other L2 projects.

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Ignas Bullish on Starknet STRK Airdrop

Ignas believes that compared to all other L2 projects, Starknet STRK has one of the best token economies, and he provides three points to support this:

  1. STRK will be used to pay Gas fees, which is different from most L2 projects.

  2. Voting rights are allocated to delegated representatives.

  3. There is a native staking mechanism for governance and security.

Other than the first point, there doesn't seem to be anything particularly special, but Ignas emphasizes in the staking yield curve in the following image that when the STRK token goes live, it will come with a relatively high staking yield, and in the future, as the staking rate increases, the yield decreases, which also helps regulate currency inflation and incentivize stakers to participate.

Starknet Airdrop May Benefit TIA Stakers After Cancun Upgrade

According to previous reports, the Starknet Foundation has completed the airdrop snapshot, with 9% of the total supply of STRK to be used for the airdrop. Ignas predicts that the airdrop may occur after the Cancun upgrade, as the upgrade will reduce L2 costs, benefiting Starknet even more.

Additionally, in late January, modular blockchain project Celestia retweeted an official tweet from Starknet, leading the crypto community to speculate that TIA stakers may receive token airdrops as shown in the image below.

Starknet Foundation Unveils Upcoming Airdrop: Plans Still in Draft Stage

Ignas Bullish on METIS as Well

Ignas concludes by stating that while the token economy of STRK may not be revolutionary, it has achieved a certain level of innovation in the L2 space. In fact, compared to most L2s, STRK shares more similarities with L1 public chain tokens, as it is used for transaction fees and staking, providing a clearer value proposition than other L2 projects.

He also believes that Metis METIS has excellent token economics in L2 and will write about it separately in the future.

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