Starknet Airdrop eligibility conflict triggered 90% drop in users

Starknet, the popular Ethereum Layer 2 platform, is experiencing a massive influx of users ahead of its major token airdrop. In the year In the week leading up to February 20, 2024, Starknet's active user count has nosedived and is nearing long-term lows.

This spectacular failure coincides with the platform's preparations for a major airdrop, which has raised questions and fueled controversy among its users.

Starknet Token Airdrop Flip-Flop

The crux of the problem lies in Starknet's sudden updates to upcoming airdrops. Set for February 20th, Weather aims to release over 700 million STRK tokens, which is equivalent to 10% of the total token supply. However, the sudden changes ruffled the feathers of some users who were banned from receiving STRK tokens.

These include the reformation of more than 900 ETH home verifiers and the distribution of more than 6.9 million STRK to 1,000 unique stakeholders that were previously misallocated. Additionally, more than 1 million STRK have been reserved for future community allocation after issues have been raised that store GitHub handles of scooters.

Read more: Deep Dive into Starkware, Starknet and StarkX

However, these changes were not well received at the international level. The crypto community has criticized Starknet's eligibility criteria and the company's token-opening approach. Starknet acknowledged its grievance against X;

“We hear that some dedicated community members and network users have been left behind due to limited delivery requirements.”

He stressed his commitment to finding a “meaningful solution” but that this process,

“It takes time to research, design and test.”

TVL up, users are down

Crypto analyst Banteg said about 2,000 participants who qualified for Weather on X (formerly Twitter) changed or deleted their account snapshots after qualifying. This revelation first pointed to the system's potential jamming and gaming and added another layer of complexity to the eligibility debate.

According to Starknet data platform Starkscan, active users have dropped by 90% in the last week alone. As of February 13, the platform has grown to over 225,000 active users. However, the herd quickly dwindled to just 25,000 at press time.

Read more: Crypto and NFT Airdrops: What are they and how do they work?

Despite these challenges, the platform's total value locked (TVL) remains at an all-time high of around $185 million, reflecting the paradox of its current state. The community's frustration is palpable, with some users feeling left out by the recent eligibility changes, especially those for certain staking validators.

As Starknet marches toward its planned public launch, the drama that unfolds is a reminder of the erratic and often unpredictable nature of crypto airdrops.