Starknet (STRK) Establishes $120 Million GameFi Development Fund

A newly formed committee aims to develop and promote initiatives to attract game developers and users to the Starknet ecosystem.

Starknet (STRK) establishes a $120 million GameFi development fund. Image: StarkWare

In a bid to bolster its gaming ecosystem, the entity behind Starknet has launched a dedicated gaming committee with an operational fund of up to $120 million.

The committee comprises six experts from Starknet Foundation, StarkWare, Unstoppable Games, Focus Tree, Cartridge, and Loot Realms. Their mandate includes a three-phase roadmap—analysis, strategy formulation, and execution—to expand the GameFi ecosystem on Starknet.

Additionally, the Starknet Foundation has committed to allocate 50 million STRK tokens, valued at approximately $120 million, to fund proposed initiatives.

GameFi remains a hot topic in the cryptocurrency sector, with Starknet's move coinciding with a resurgence in GameFi interest after a more than two-year lull.

While Bitcoin continues to set new highs, the GameFi sector has also seen significant growth, with its total market capitalization increasing by 30% over the past 24 hours, settling at around $32 billion.

Regarding Starknet specifically, the project previously conducted an airdrop of 700 million tokens to early contributors and users. Despite facing FUD (Fear, Uncertainty, Doubt) and fluctuating transaction activity, the total value locked (TVL) on this layer-2 solution has more than tripled.

STRK initially surged to $7.7 upon its debut listing on Binance. However, subsequent strong selling pressure pushed prices down to around $1.7 over the past three weeks. In recent days, prices have begun to recover, reaching approximately $2.5.

4-hour chart of STRK/USDT pair on Binance as of 11:20 AM on March 12, 2024.