StarkNet Foundation Set to Allocate 1.8B STRK Tokens for User Rebates and Provisons’ Committee

Last updated: December 9, 2023 01:55 EST
. 2 min read

Disclosure: Crypto is a high-risk asset class. This article is provided for informational purposes and does not constitute investment advice. By using this website, you agree to our terms and conditions. We may utilise affiliate links within our content, and receive commission.

The Starknet Foundation has unveiled plans to distribute 1.8 billion STRK token rewards and rebates to drive the adoption and growth of the Starknet blockchain.

While specific distribution plan details are not provided, the Foundation intends to involve various committees to oversee the overall allocation of the L2 tokens.

In a December 8 announcement on X (formerly Twitter), the Foundation highlighted the role of the “Provisions Committee,” a distinct committee within its ecosystem, in managing the distribution of rewards to users and community members. It added:

“The committee’s objective is to distribute ownership of the network’s native token and to reward past and future contributions by users and community members. We’ve been working on the first phase of distributions for a while now, and we are close to getting this over the line. There’ll be more formal communications on this soon.”

Now that the news is out, we might as well tell you more!

Starknet is about each of you. Every user, builder and member of our community – existing and future – is a critical piece to building our network into the future of decentralisation for generations to come. The success…

— Starknet Foundation (@StarknetFndn) December 8, 2023

The committee will disburse 900 million STRK tokens in stages to acknowledge both past and future contributions made by users and community members. This distribution phase is set to commence in the first half of 2024.

In addition to this allocation for user rewards, an equivalent amount has been designated for user rebates.

The Foundation revealed that a new committee dedicated to overseeing the distribution of STRK is in the process of formation. This committee will focus on rewarding users for significant transactions conducted on the Starknet network.

We have seen that a preview of an iteration of a possible provisions portal has been shared on social media. As noted a year ago in the original announcement of the STRK token, the Starknet Foundation is developing plans to distribute the token to certain users/contributors for…

— Starknet Foundation (@StarknetFndn) December 1, 2023

This recent announcement follows the firm’s confirmation of the STRK token airdrop snapshot on December 1.

50M STRK Allocated For On-Chain Incentives in DeFi

In addition to establishing two committees tasked with managing the distribution of 1.8 billion STRK tokens, the Foundation has introduced a third group known as the “DeFi Committee.”

This group has been allocated an initial 50 million STRK to explore direct, indirect, and retroactive incentivization. The focus is on fostering increased liquidity, higher trading volumes, and overall growth within the Starknet Decentralized Finance (DeFi) ecosystem.

50M Allocated For Onchain Incentives

Gooddd Airdrop

— HEADBOY 🦇🔊 (@NDIDI_GRAM) December 8, 2023

The DeFi Committee is nearing the end of the research phase and will move into execution and potential deployment in Q1 2024.

Furthermore, the Foundation has hinted at an upcoming announcement regarding innovative incentive mechanisms for developers and decentralized applications (dApps) on the network.

Told you guys starknet going to be a developer focused Airdrop

Congratulations 👏 if u get $STRK Airdrop

Good luck legends 😁👌

— Maran’s Crypto (@MaransCrypto) December 8, 2023

While the latest development is impressive and has garnered hot-red attention from global crypto and L2 communities, the firm noted that eligibility for STRK tokens will be subject to terms and conditions.