100M STRK, how it works and risks

Starknet enables Bitcoin staking with rewards in STRK and an incentive program of 100 million STRK. Non-custodial model, focused on bridge and delegation. Opportunity for DeFi, but technical and market risks remain.

Bitcoin staking arrives on Starknet. The initiative, announced in a statement on September 30, 2025, was reported by specialized outlets such as Decrypt and The Block, and allocates 100 million STRK to incentivize activities related to Bitcoin on the network (100M STRK ≈ 12 million dollars at the exchange rate on 09/30/2025 according to reported estimates).

According to the data collected by our editorial team through on‑chain dashboards like Dune and analysis reports on L2BEAT, in the hours following the announcement, there was a marked increase in queries and interest in metrics related to BTC bridged on Starknet. Industry analysts observe that an incentive program of this scale can generate spikes in TVL in the short term, but sustainability will depend on liquidity, reward design, and market risks.

News in Brief: What’s Changing and for Whom

Starknet now allows the use of tokenized BTC to contribute to network security through delegation. Users retain key control and earn rewards in STRK. That said, the initiative extends the use of BTC beyond traditional channels and complements the staking of the native token.

According to the Starknet team and the foundation, the planned budget amounts to 100 million STRK to promote Bitcoin products and activities on an Ethereum layer-2. The operational details – official bridge, contracts, and schedule – are still being defined and will be published as soon as they are available.

Actors and Products: Who Does What

  • RE7 develops a yield product denominated in BTC on Starknet, designed to integrate “yield” streams with rewards in STRK.
  • StarkWare emphasizes the non-custodial model, which enables delegation without relinquishing ownership of the assets.
  • Comparison: networks like GOAT Network primarily reward in BTC, while still maintaining incentives in native tokens, whereas Starknet favors rewards in STRK.

Incentives: 100M STRK, criteria and schedule

The incentive program aims to increase TVL, trading volumes, and participation of validators and delegators. Generally, such initiatives include minimum thresholds, durations, and wallet limits, although many specifics are still being defined (to be confirmed).

  • Budget: 100,000,000 STRK allocated to BTC initiatives on Starknet.
  • Rewards: payout in STRK for those who delegate BTC to the validation set or authorized products.
  • Schedule: timing, vesting periods, and limits for wallet/validator will be specified later.

Note: further details on rules, contracts, and the official bridge will be updated as soon as the complete document is published.

How Bitcoin Staking Works on Starknet

In summary, the user delegates a representation of BTC on Starknet – typically a tokenized or bridged version – earning rewards in STRK. The network uses technologies based on zero‑knowledge proofs to ensure scalability and verification, while keeping the user in full control of the assets. In this framework, the logic remains non-custodial.

Simplified architecture:

  • Bridge: transfers BTC or its equivalent to L2, through a tokenized form.
  • Delegate: the user entrusts the balance to a validator or a participating protocol.
  • Settlement: L2 mechanisms based on ZK proofs attest the network state towards Ethereum.
  • Reward: distribution of rewards in STRK with vesting and unlocking conditions to be defined.

As of today, the bridge for BTC on Starknet has not yet been announced, nor have the core contract addresses been disclosed. It should be noted that it is always advisable to verify official sources before proceeding with operations.

Market Impact: Integration of BTC into DeFi

The introduction of Bitcoin staking on Starknet could attract “idle” BTC capital, offering new collateral to lending protocols and yield strategies. The example of the agreement between Coinbase and Morpho on the Base network shows how targeted partnerships can unlock significant volumes.

The token STRK has historically shown strong volatility. Recent updates indicate, for example, that STRK had a market capitalization of approximately 498 million dollars and recorded a decline of 74% compared to the all-time high of 4.41 dollars reached in 2024. For more information on price, capitalization, and history, refer to CoinGecko.

Quick Guide: Getting Started Safely

  1. Wallet: use a wallet compatible with Starknet and updated to the latest version.
  2. Bridge: transfer BTC through the officially supported solution (awaiting the publication of verified addresses).
  3. Delegate: choose a validator or an authorized protocol, after carefully reviewing terms and reward policies.
  4. Monitoring: regularly check the rewards in STRK, the vesting periods, and the unstake conditions.

Due diligence checklist:

  • Verify the audits and addresses of the contracts through official channels.
  • Check for any deposit/withdrawal limits, slippage, and applicable fees.
  • Use interfaces that clearly display the transaction signature and allow for the revocation of permissions.

Risks: technical, market, and operational

The platform’s design was conceived to be non-custodial, but some risks persist:

  • Bridge and smart contract: potential bugs or exploits could lead to losses. Notable cross-chain incidents include Wormhole (2022) and Ronin (2022).
  • Market: the volatility of STRK can affect the actual yield of the rewards.
  • Liquidity: a strong concentration of incentives or validators could cause delays in unstake and high spreads.
  • Operations: risks related to approval errors or phishing attacks on unofficial interfaces remain a constant concern.

Best synthetic practices:

  • Use exclusively official links and verified channels (website, GitHub, X, Discord).
  • Start with small amounts to test the system before increasing exposure.
  • Consistently monitor the TVL, the inflows/outflows from the bridge, and the status of the validator nodes.

Technical Context: ZK proofs and L2 security

Starknet uses zero‑knowledge proofs technology to attest the network state on Ethereum, reducing costs and ensuring greater scalability. The system is based on the STARK protocol and the operational application introduced in recent years by Eli Ben‑Sasson, co‑founder of StarkWare, which has facilitated the separation between execution and verification.

In various interviews, Ben‑Sasson has defined Bitcoin as “pristine capital”, highlighting its potential as collateral in a DeFi ecosystem that has so far seen relatively limited use of BTC. The new integration on Starknet therefore aims to fully exploit this opportunity, maintaining full control of the assets by the users.

What to Monitor: Data and Transparency

  • Contracts and official bridge: carefully check addresses and audits through official communications.
  • TVL and BTC flows on Starknet: dashboards like the one offered by Dune provide updated data.
  • Security of the protocol: refer to the risk page on L2BEAT.
  • Transactions and addresses: tools like Starkscan allow on‑chain monitoring.

Conclusions

Staking Bitcoin on Starknet represents a significant step towards greater interoperability and scalability for DeFi. The incentives of 100 million STRK could accelerate the adoption of the system, provided that it is essential to proceed with caution and carefully verify bridges, contracts, and reward conditions.

Until the full details are published, it is recommended to rely exclusively on official references and to operate with full awareness of the technical and market risks.

Source: https://en.cryptonomist.ch/2025/09/30/staking-bitcoin-on-starknet-100m-strk-how-it-works-and-risks/