Starknet is a Layer-2 blockchain built on top of Ethereum, utilizing a technology called ZK-Rollup to enhance scalability. ZK-Rollups bundle multiple transactions into a single transaction that is then sent to Ethereum, reducing costs and increasing throughput compared to processing each transaction individually on Ethereum's network. Starknet leverages the Cairo virtual machine, which functions as a virtual CPU, to optimize these off-chain transaction proofs. The project was developed by StarkWare Industries and officially launched its mainnet in October 2021. Starknet aims to support various decentralized applications (dApps) by providing a robust environment for executing smart contracts efficiently while maintaining Ethereum's security standards. Key features include facilitating developers through tools for creating scalable dApps, and the platform has also introduced parallel execution systems to boost transaction speeds.

Starknet was developed by StarkWare Industries Ltd., which was founded in 2018. The company was co-founded by Michael Riabzev, Uri Kolodny, Alessandro Chiesa, and Eli Ben-Sasson. As of February 2024, Eli Ben-Sasson remains actively involved with the project, while Riabzev and Chiesa have stepped away. Uri Kolodny, who served as CEO, stepped down in January 2024 to address a family health issue, passing the role to Ben-Sasson. Starknet's main product releases include StarkEx in June 2020 and the alpha of their mainnet on October 4, 2021, followed by the full mainnet launch on November 16, 2021.

Yes, you can stake tokens in the Starknet project. Specifically, Starknet has introduced native staking of its STRK tokens as part of its transition to a Proof-of-Stake (PoS) protocol. Here's a breakdown:

• Tokens You Can Stake: Starknet's native token, STRK, is used for staking.
• Staking Involvement:
  • Validators: Users can operate full nodes as validators by staking a minimum of 20,000 STRK, earning rewards from self-staked tokens and commissions on delegated funds.
  • Delegators: Users who do not wish to run a full node can delegate their STRK to validators, receiving a share of the validator's rewards.
• Rewards for Stakers: Validators and delegators earn network rewards. The staking rewards are distributed according to the protocol's minting curve, which balances participation and inflation.

Staking participation enhances network security and decentralization by allowing economic participation and by facilitating governance through voting within the Starknet ecosystem source.

The Starknet protocol itself has not directly suffered any notable hacks or exploits with a significant financial impact since October 2024, according to the latest available information. However, a platform built on Starknet, zkLend, experienced a major exploit in February 2025 where $9.5 million was stolen due to a smart contract vulnerability. This incident was related to a DeFi application utilizing the Starknet network, not the core Starknet protocol source.

Starknet employs several security measures, many of which are tailored to its unique framework and technological environment:

1. Starknet Security Council:

   • Role and Responsibilities: Composed of 12 experts, the Security Council ensures network integrity by evaluating upgrades, managing emergency responses, and maintaining transparent reporting. They focus on assessing security risks, approving or delaying upgrades, and taking urgent actions during crises source.
   • Vetting and Emergency Upgrades: Regular upgrades follow a "vetted time-delayed flow," allowing for a seven-day review period, while emergencies can prompt immediate action with a 75% council vote source.

2. Smart Contract Analysis and Tools:

   • Cairo Static Analysis with Caracal: A framework specifically developed for Cairo smart contracts to identify vulnerabilities and optimize contracts within Starknet’s ecosystem source.

3. Phased Security Implementation:

   • Phase 1: Focuses on staking-related contracts both on Starknet and Ethereum.
   • Phase 2: Expands to cover all core infrastructure contracts, allowing continuous oversight expansion to address emerging threats and vulnerabilities source.

4. Adaptive Measures:

   • Pausing and Unpausing Contracts: The council can pause contracts to thwart imminent threats and resume them with a 50% majority vote post-evaluation source.

Regarding vulnerabilities, Starknet is mindful of potential threats common to blockchain networks, such as smart contract bugs, Sybil attacks, and DoS attacks. Despite thorough vetting processes, the increased deployment of smart contracts raises the risk of unintended bugs and scams source.

These measures highlight Starknet's commitment to a secure development environment and its adaptability to the evolving landscape of blockchain security.

Here are the known audit reports for the Starknet project, listed in chronological order with the most recent first:

• September 23, 2024: Herodotus Integrity verifier audit conducted by zkSecurity.
• October-November 2022: STARK Cairo Verifiers Smart Contract Audit by CryptoExperts.
• March-April 2022: Cairo and SHARP Verifiers Smart Contract Audit by CryptoExperts.
• November-December 2021: EVM STARK Verifier v4.0 Smart Contract Audit by CryptoExperts.

These audits focus on different components of Starknet, including verifier smart contracts and protocol soundness.