Starknet is a Validity-Rollup (ZK-Rollup) Layer 2 network that operates on top of Ethereum, enabling dApps to massively scale without compromising on security. It achieves this by bundling transactions into an off-chain computed STARK proof. This proof is then submitted to Ethereum as a single transaction, resulting in significantly higher throughput, faster processing times, and much lower costs, all while retaining the robust security of the Ethereum settlement layer.

Starknet aims to be governed by a decentralized, community-driven process centered around STRK token holders. While StarkWare originally developed the technology, the network is transitioning to a completely decentralized model where the broader community makes decisions regarding protocol upgrades, development, and the future of the network.

Starknet is a Layer 2 that uses STARK technology to validate off-chain transactions, enabling unlimited scale while preserving Ethereum's security and decentralization.

github

twitter

discord

etherscan

website

governance

Blockchains (L2)

Starknet

# Starknet Expenses Methodology

## 1. Overview

Starknet expenses represents the total daily operational costs incurred by the Starknet protocol, measured in USD. This metric combines two primary expense categories: cost of revenue (L1 settlement fees paid on Ethereum) and token incentives (STRK tokens distributed through airdrops and staking rewards). The calculation aggregates these expenses daily and provides a comprehensive view of Starknet's operational expenditure.

## 2. Data sources

- **Ethereum transaction records**: Complete transaction data from Ethereum mainnet, including gas usage, gas prices, blob gas usage, and blob gas prices for transactions sent to specific Starknet contracts
- **Starknet event logs**: Parsed `ClaimServed` events from the Claim contract capturing STRK airdrop distributions and `RewardsSuppliedToDelegationPool` events from the Staking contract capturing staking reward distributions
- **End-of-day token price feeds**: Daily closing prices for ETH and STRK tokens used for USD conversion
- **Token metadata**: Token decimal places and contract addresses for proper amount normalization

## 3. Step-by-step calculation

### Component A: L1 settlement costs (cost of revenue)

- **Purpose**: Calculate the daily cost of settling Starknet transactions on Ethereum L1
- **Logic**: Query Ethereum transaction records to identify all transactions sent to the Starknet core contract (`0xc662c410c0ecf747543f5ba90660f6abebd9c8c4`) and SHARP verifier contract (`0x47312450b3ac8b5b8e247a6bb6d523e7605bdb60`). For each transaction, calculate the total gas fee by multiplying `receipt_gas_used` by `receipt_effective_gas_price` and adding blob gas costs (`receipt_blob_gas_used` multiplied by `receipt_blob_gas_price` when available). Convert the total gas cost from wei to ETH by dividing by 10^18. Aggregate these costs daily by summing all settlement fees for each calendar day
- **Key fields**: `receipt_effective_gas_price`, `receipt_blob_gas_price`, `receipt_gas_used`, `receipt_blob_gas_used`, `to_address`, `block_timestamp`

### Component B: Token incentives

- **Purpose**: Calculate the daily USD value of STRK tokens distributed through protocol incentives
- **Logic**: Combine two types of STRK token distributions from Starknet event logs. First, extract airdrop claims by parsing `ClaimServed` events from the Claim contract, capturing the `amount` field and `recipient` address. Second, extract staking rewards by parsing `RewardsSuppliedToDelegationPool` events from the Staking contract, capturing the `amount` field and `pool_address` recipient. Both event types use the STRK token address (`0x4718f5a0fc34cc1af16a1cdee98ffb20c31f5cd61d6ab07201858f4287c938d`). Apply decimal correction to convert raw token amounts to actual STRK token quantities, then aggregate daily by summing all token incentive amounts for each calendar day
- **Key fields**: `amount`, `recipient`, `pool_address`, `block_timestamp`, `incentive_type`

### Final aggregation

- **Combining components**: Union the daily cost of revenue and daily token incentives into a single expenses dataset, with each row representing one expense type for one day
- **Currency conversion**: Convert ETH settlement costs and STRK token incentives to USD using end-of-day token price feeds. Apply the conversion after decimal correction for proper amount normalization
- **Time aggregation**: Truncate all timestamps to daily boundaries and group by calendar day. Handle time zones consistently using UTC
- **Final calculation**: Sum all expense values (cost of revenue plus token incentives) for each day to produce the total daily expenses in USD. Apply zero-fill strategy to ensure continuous daily time series with no gaps, filling missing days with zero values rather than null

*This methodology was automatically generated by Token Terminal's methodology analyzer.*

Total project operating and incentive expenses.

StarknetSTRK

Expenses

Expenses

Competitive landscape

Chain breakdown