Starknet Mainnet Upgrade Enhances Performance and Introduces New Hash Standard

Starknet has rolled out its v0.14.1 mainnet upgrade on November 25, as announced by StarkWare, the firm behind this Ethereum Layer 2 network. This update aims to improve block production speed, introduce the BLAKE hash function, and enhance the JSON-RPC stack, although the native STRK token continues to trade near multi-week lows following these changes.

Key Takeaways

Upgrade Details: The v0.14.1 upgrade enhances block production speed during low network activity and introduces the BLAKE hash function.
Transition to New Standards: The new hash standard aims to improve efficiency and decrease proof costs for developers.
STRK Token Performance: The STRK token is trading at low levels with significant trading volume, but is currently underperforming compared to the wider cryptocurrency market.
Decentralized Finance (DeFi): Starknet's DeFi value has modestly increased, but trading volumes are comparatively limited relative to derivative trading.

Starknet mainnet upgrade delivers faster blocks and new hash standard - 1

Upgrading the Starknet Experience

The v0.14.1 update, crafted by the StarkWare and Starknet core teams, introduces key features to enhance user experience. During periods of low network activity, it allows for faster block production, which aims to shorten the waiting times for users.

This upgrade also marks a significant shift from the Poseidon hash function to the BLAKE hash family for compiled_class_hash. This change was made to comply with the SNIP-34 standard and improve compatibility with the Stwo prover architecture, ultimately intended to minimize proof costs for developers.

New Standards for Better Performance

The update includes modified logic for rapid block closure during low activity times, further reducing user wait times. It adopts JSON-RPC v0.10.0 for enhanced delivery systems regarding state diffs, events, and subscriptions. This update establishes a standardized approach beneficial for indexers and tooling teams.

According to StarkNet’s public calendars, the upgrade is now active, marking another milestone in the roadmap set for 2025. This deployment follows two significant infrastructure changes, the latest being the activation of the Stwo prover on November 5, which replaced the earlier proof system.

STRK Token Trading Trends

As of November 26, the STRK token was observed around multi-week lows, with a 24-hour trading volume reaching several hundred million dollars across major exchanges. Data from CoinGecko highlights a noticeable downturn over the last week, as the token continues to lag behind the broader cryptocurrency market and other smart-contract tokens.

Historically, the STRK token remains significantly lower than its peak in 2024, indicating challenges in regaining that momentum.

Insights into Starknet's DeFi Landscape

Data from DeFiLlama shows that Starknet’s total value locked in decentralized finance is in the range of tens or hundreds of millions of dollars. The network has seen a slight increase in stablecoin balances over the past month.

In the last 24 hours, trading volumes on decentralized exchanges were relatively minor compared to derivatives trading, suggesting that the ecosystem is experiencing strong activity in derivative markets.

Overall, the latest updates to Starknet reflect its endeavor to boost efficiency and performance while adapting to the evolving needs of its users and developers within the blockchain space.