Starknet’s STRK token has fallen to an all-time low of $0.48, a dramatic decline from its all-time excessive of $2.63 in March, as the Ethereum layer 2 solution continues to face indispensable challenges following its airdrop in February. Despite efforts to revitalize the network, impartial like the Starknet DeFi Spring 2.0, a program to incentivize liquidity, key metrics had been power declining.

The network’s total fee locked (TVL) has now plummeted to 211,700 ETH after reaching an all-time excessive of 456,000 ETH submit-airdrop in February, representing extra than a 50% drawdown. In greenback terms, Starknet’s TVL stands at $687.2 million, with extra than half of that, or $347 million, in its beget token, STRK.

Read extra: Starknet-Based ZKX Protocol Shuts Down Citing Low Utilization and Token Value

Furthermore, the network’s each day filled with life addresses contain dropped to decrease than 10,000, vastly decrease than its zk-rollup competitors, as per growthepie. For comparison, Scroll has round 70,000 each day filled with life addresses, zkSync Period round 125,000, and Linea round 600,000.

“The metrics existing an absence of user neighborhood,” wrote Aylo (@alpha_pls), a researcher at alpha please, on X. “Pretty so a lot of funds had been raised for both StarkNet ($100M at an $8B valuation in 2022) and eco initiatives,” which highlights that the immense funding has no longer translated into sustained user engagement.

The facing of Starknet’s airdrop has been broadly criticized. The eligibility requirements excluded many filled with life users, main to discontent at some level of the neighborhood. Furthermore, some initiatives that on the initiating confirmed promise contain either shut down or migrated to varied platforms. This week, ZKX, the principle decentralized perpetual alternate on Starknet, shut down, indicating extra ache.

Starknet’s DEX quantity is within the within the intervening time the bottom among all major blockchains. at decrease than $10 million per day impartial recently. By comparison, Scroll’s 24-hour quantity stands at $38 million, zkSync Period’s at $17.7 million, and Linea’s at $31.5 million, in accordance with DefiLlama.

Read extra: Starknet Utilization Is Manner Down Submit-Airdrop, Showing No Indicators of Stopping

Despite these challenges, there are areas of doubtless deliver. DeFi initiatives in accordance with Starknet impartial like Ekubo, Vesu, Nimbora, and AVNU are light garnering passion, according to Ollie Armitage, who works for Starknet’s important pockets Argent. Furthermore, Armitage pointed out that StarkWare’s ongoing learn into Bitcoin and its gaming initiatives may perchance most certainly well well offer some hope for future pattern.

“Starknet is in a tricky space, nonetheless there’s light heaps to be excited by,” Armitage wrote.