Starknet's STRK Token Plummets More Than 50% on First Day of Trading, Market Critical of Unlocking Plan

Starknet's STRK tokens plummeted by more than 50 per cent in the first day of trading, suggesting that many recipients may sell immediately after receiving their allocations. Market watchers have criticised the Starknet team and investors for their token unlocking plans. STRK has fallen 55 per cent in the past 24 hours, with more than $1.2 billion in trading volume, data showed. Only $3 million in STRK futures were liquidated, suggesting that most of the selling pressure came from spot trading. About $728 million of STRK was distributed to about 1.3 million addresses based on predetermined criteria, such as participation in blockchain and community events. The sell-off pressure suggests that recipients may be selling tokens as soon as possible.Starknet is an ethereum rollup platform that allows applications to scale with zero-knowledge proof-of-knowledge technology to prove the authenticity of a set of data without revealing the data itself. As of Tuesday, the team said on X that more than 120 million STRK had been claimed by more than 100,000 wallets.