Starknet, the layer 2 scaling solution of Ethereum, has launched the first phase of the staking mechanism, allowing STRK token holders to participate in staking and contribute to the security as well as functionality of the network.

Those holding at least 20,000 STRK tokens can now participate in solo staking to secure the network and earn rewards. Holders with fewer tokens can delegate their tokens to validators, thereby participating in network security indirectly.

The rollout will be implemented in phases, starting with validators performing basic staking functions, including operating full nodes and interacting with staking contracts. Over time, they will take on more significant roles such as block production and validation.

Eli Ben-Sasson, CEO of StarkWare, shared that this is a “very significant event” for the Starknet community, especially as Bitwise has “joined as a public validator.”

Decentralization through phased staking implementation

The gradual rollout begins with basic staking functions, including the introduction of the staking protocol and stake decentralization, thereby laying the foundation for future responsibilities and enhancing the network's decentralization.

“Ultimately, Starknet users will be able to arrange and validate Starknet blocks, and receive rewards,” Ben-Sasson stated. He emphasized the importance of a phased rollout to ensure network stability.

“Note that Ethereum took three years to perfect this process. Therefore, the teams at StarkWare and Starknet Foundation are leveraging this first phase to study staking habits and analyze on-chain data, in order to gather crucial information for implementing additional responsibilities for validators in the future.”

Implications for Starknet governance

The introduction of staking marks an important milestone in the development of the Starknet ecosystem, providing opportunities for users to engage in both financial and governance purposes.

“Governance benefits will be rolled out in phases. Ultimately, token holders will be able to participate in blockchain operations.”

“The staking rollout will promote the decentralization process of Starknet, and control will gradually be transferred into the hands of the community.”

On October 29, Starknet recorded a significant milestone when it achieved 857 transactions per second (TPS) in a controlled stress test. Ben-Sasson stated that this test proves that Starknet can scale without compromising network integrity, averaging 127.5 TPS over 24 hours.

The stress test simulated a high-demand gaming environment and showed significant improvements in throughput as well as transaction speed, proving the “strength” of the Starknet network.

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