Crypto Gloss

Starknet

Starknet is Ethereum’s most technically distinctive Layer 2 — a ZK-rollup that uses STARK proofs (Scalable Transparent ARguments of Knowledge) developed by StarkWare, a company co-founded by mathematician Eli Ben-Sasson. While most ZK-rollups (zkSync, Polygon zkEVM, Scroll) aim for EVM compatibility using SNARK-based proofs, Starknet takes a different approach: it uses a custom virtual machine (Cairo VM) and its own programming language (Cairo), enabling larger proofs and more expressive computation. STRK, the native token, launched in 2024 via one of the year’s most controversial airdrops.

STARK Proofs vs SNARK Proofs

SNARK (Succinct Non-interactive ARguments of Knowledge):

  • Smaller proof size (~200 bytes typical)
  • Faster to verify on-chain (lower gas cost)
  • Requires trusted setup: An initial “ceremonial” multi-party computation is required; if all participants collude, the system is compromised
  • Used by: zkSync, Polygon zkEVM, Scroll, Groth16, PlonK

STARK (Scalable Transparent ARguments of Knowledge):

  • Larger proof size (~80KB typical) — more expensive to verify
  • No trusted setup: Pure cryptographic assumptions (hash functions); transparent and trustless from the start
  • Quantum-resistant (relies on hash functions, not elliptic curves which quantum computers could break)
  • Scales better for very large computations (proof generation time grows quasi-linearly, not exponentially)
  • Used by: Starknet, StarkEx (dYdX v3, Immutable X, Sorare, DeversiFi)

Cairo Programming Language

Starknet doesn’t run Solidity or EVM bytecode. It has its own language:

  • Cairo (original): Rust-inspired language for writing provable programs; more verbose than Solidity
  • Cairo 1.0 (2023): Complete redesign making it more developer-friendly; syntax closer to Rust
  • Sierra (intermediate representation): Cairo compiles to Sierra, then to CASM (Cairo Assembly) — enables safe gas metering and “safe failures”
  • Consequence: Starknet requires developers to learn an entirely new language — the biggest adoption barrier

Why Cairo exists:

Proving EVM bytecode with STARKs is possible (zkEVM approach) but inefficient. Cairo is designed to be natively provable — programs written in Cairo can be proven correct cheaply because the language’s constraints align naturally with STARK proof generation.

Account Abstraction (Native)

Starknet was the first major network with native account abstraction (AA):

  • Every account on Starknet is a smart contract (no EOA vs contract distinction)
  • Features: Multi-sig natively, social recovery, fee payment in any token, batched transactions
  • Users can pay gas in USDC, STRK, or ETH
  • Influenced Ethereum’s EIP-4337 proposals; Starknet’s success demonstrated AA’s viability

STRK Token

Starknet’s native token:

  • Utility: Gas fees (alongside ETH), governance, staking (Starknet V2+)
  • Launch: Airdrop in February 2024; one of the most contentious airdrops of the year
  • Airdrop controversy:
    StarkWare allocated tokens to “Ethereum contributors” (open-source developers)
    Allocation to solo stakers, protocol contributors, and developers was widely praised
    However: Retroactive allocation excluded many Starknet early users on technical grounds
    Argent wallet users and some early dApp users claimed they were wrongly excluded
    Large allocation to StarkWare employees and VCs prompted fairness complaints

StarkWare and StarkEx

StarkWare is the company that built Starknet. Before Starknet, StarkWare deployed StarkEx — a permissioned STARK-proving service for individual applications:

  • dYdX v3: Used StarkEx for its perpetuals DEX (10M+ trades/day at peak)
  • Immutable X: NFT gaming L2 using StarkEx
  • Sorare: Fantasy sports NFT platform on StarkEx
  • DeversiFi: DEX on StarkEx

StarkEx is different from Starknet: StarkEx is a single-app proving service; Starknet is a general-purpose, permissionless L2 where anyone can deploy contracts.

Ecosystem

Major Starknet protocols:

  • Ekubo: Native Starknet DEX (AMM focused on capital efficiency)
  • Nostra: Lending and stablecoin protocol
  • AVNU: DEX aggregator
  • Argent X: Leading Starknet wallet (native AA wallet for browsers)
  • Braavos: Alternative smart contract wallet for Starknet
  • Stark Name Service: .stark domain names for Starknet addresses

How to Use Starknet

  1. Install Argent X or Braavos browser extension (Starknet wallets — NOT MetaMask)
  2. Create a wallet (unique: deploying costs gas — it’s a smart contract)
  3. Bridge ETH from Ethereum via starkgate.starknet.io or fast bridge (Orbiter Finance, Layerswap)
  4. Use ETH or STRK as gas on Starknet dApps

Acquire initial ETH via . Secure funds with (Ledger Starknet support available via Argent integration).

Social Media Sentiment

Starknet has a reputation for technical excellence paired with poor community tokenomics execution. The STRK airdrop was widely criticized for the discrepancy between its treatment of institutional holders vs. retail early users. The Cairo language requirement remains a polarizing topic: advocates argue native provability unlocks computation impossible on zkSync or Scroll; critics argue the developer fragmentation into yet-another-language fragments the Ethereum developer ecosystem. The Immutable X and dYdX relationships give StarkWare (parent company) credibility. Starknet has historically had less user activity than Arbitrum/Optimism/Base but deeper technical roots that create long-term advocates.

Last updated: 2026-04

Related Terms

Sources

Ben-Sasson, E., Bentov, I., Horesh, Y., & Riabzev, M. (2018). Scalable, Transparent, and Post-Quantum Secure Computational Integrity. IACR Cryptology ePrint.

Ben-Sasson, E., Chiesa, A., Spooner, N., & Widick, I. (2020). STARK-Friendly Hash Functions. IACR Cryptology ePrint.

Boneh, D., Drake, J., Fisch, B., & Gabizon, A. (2019). Halo: Recursive Proof Composition Without a Trusted Setup. IACR Cryptology ePrint.

Gabizon, A., Williamson, Z. J., & Ciobotaru, O. (2019). PLONK: Permutations over Lagrange-bases for Oecumenical Noninteractive arguments of Knowledge. IACR.

Buterin, V. (2022). An Incomplete Guide to Rollups. Vitalik.ca.