Integrating IBC into Starknet allows for seamless liquidity flow between Starknet and other networks.
Informal Systems announced on Twitter that the Ethereum layer-2 network, Starknet, is working with them to join the interchain. The goal of this partnership is to integrate the Inter-Blockchain Communication (IBC) protocol into Starknet, allowing for application composability across various layer-2 (L2) and layer-1 (L1) networks.
The integration of IBC will allow for the bidirectional flow of liquidity between Starknet and the wider interchain, promoting increased interoperability and ecosystem cohesiveness.
From Decentralization to Interoperability
The route to this collaboration began in the spring of 2023, with technical conversations centered on decentralizing Starknet’s L2 utilizing the Tendermint consensus protocol. Informal Systems, drawing on their significant expertise with CometBFT, provided valuable insights into these conversations.
Initially focused on decentralization protocol design, the partnership has recently expanded to include interoperability and the fragmentation of blockchain ecosystems.
Josef Widder, Director of Protocol Engineering, and Adi Seredinschi, Director of Product, discussed the status and thoughts on Malachite, Starknet’s decentralized sequencer implementation, on July 10th at StarknetCC.
Malachite uses the Rust-based Tendermint consensus algorithm, with the goal of achieving production-grade decentralization and interoperability. A decentralized sequencer is designed to be fault tolerant and censorship resistant, ensuring ongoing transaction inclusion even during network disruptions.
In addition, Starknet has made progress in improving its network capabilities. Previously, as we previously reported, Chainlink Data Feeds were launched on Starknet’s mainnet, enabling developers to create scalable and secure DeFi applications.
Independent, dependable node operators who are resistant to Sybil attacks and gather information from a variety of high-end APIs provide these feeds. This integration is a critical step in providing stable data infrastructure for Starknet’s expanding DeFi ecosystem.
Meanwhile, according to a prior CNF report, Starknet’s total value locked (TVL) has fluctuated. Starknet’s TVL hit $1 billion in February, propelling it to fourth place among Ethereum L2 solutions. However, the current TVL stands at approximately $300 million.
Starknet’s native token, STRK, is now trading at around $0.5276, representing a 1.92% loss over the last 24 hours. On a weekly basis, the token’s price appears to be creating a Double Bottom pattern, indicating that it may fall lower.
