StarknetSTRK#165

Starknet operates as a permissionless Layer 2 validity rollup on Ethereum, using STARK cryptographic proofs to increase transaction throughput without sacrificing the network's core principles around decentralization, transparency, and security. The protocol maintains Ethereum's integrity while enabling meaningful scaling through mathematical verification rather than trade-offs on core properties. The STRK token serves three primary functions within the ecosystem. It powers network governance, allowing token holders to participate in decisions about protocol evolution and strategic direction. Transaction fees on Starknet are paid in STRK, and the token also underpins the network's consensus mechanism, directly connecting economic incentives to network security and operation. If you're building on or using Ethereum, understanding how Starknet's approach to scaling differs from other L2 solutions helps you evaluate which infrastructure fits your use case. The token's utility across governance, fees, and consensus creates direct demand as network activity increases.