Starknet (STRK) Allocates $3.5 Million Network Fee to Developers

StarkWare, together with the Starknet Foundation, will distribute $3.5 million in network fees to dApp builders and key programmers of Starknet.

Starknet (STRK) Allocates $3.5 Million Network Fee to Developers. Image: StarkWare

StarkWare, the developer of Starknet's Layer-2 solution, in collaboration with the Foundation, announced the allocation of $3.5 million in transaction fees generated on the network to developers as part of the recently unveiled "Devonomics" program.

According to the announcement, 10% of the transaction fees collected from the project's launch until November 30, 2023 — approximately 1,600 ETH — will be used to foster the Starknet ecosystem. Of this, 8% (1,280 ETH) will be disbursed to builders of decentralized applications (dApps) on the network, while the remaining 2% (320 ETH) will go to core developers of Starknet.

The distribution will be automated, with payments to developers based on the fees generated per dApp. In future rounds, similar allocations will utilize STRK, Starknet's native token launched in September 2022, with the first unlock delayed until April of the following year.

Uri Kolodny, co-founder and CEO of StarkWare, stated in the release:

"Since the early days, developers have contributed to Starknet and helped the network generate revenue. Therefore, this allocation of fees, currently at 8% for dApp builders, will further incentivize them to innovate and build long-term relationships with the network."

Starknet continues to roll out updates ahead of the new year 2024, mirroring strategies employed by many projects taking advantage of the market recovery momentum in this final sprint of the year. Last week, Starknet Foundation revealed plans for a $1.8 billion airdrop, although a StarkWare representative clarified that Devonomics remains entirely separate from the airdrop program.