StarkGate is the Alpha version of StarkNet, which is a STARK-based scaling solution designed by StarkWare along with StarkEx.
But wait… What is all this STARK- stuff, and why is the world so after it? This is exactly what we are going to explore in this guide!
We have tried our best to explain StarkGate and its relation to STARKs and StarkNet in the easiest words possible. So, stick till the end to know it all!
What is StarkGate?
StarkGate is a project by StarkWare Industries. It is a token transfer bridge between StarkNet and Ethereum. In other words, it is another Layer 2 token on the Ethereum Network. StarkNet is a STARK-based scaling solution. It is important to understand what STARKs is if you want to understand StarkNet and StarkGate.
So, let’s first learn a little about STARKs!
What are STARKs?
STARKs stands for “Scalable, Transparent ARgument of Knowledge” or “Succinct Transparent ARgument of Knowledge.” It is a “proof system” used in a blockchain network to verify computations.
As we know, a blockchain network consists of a chain of blocks, and each block represents or stores certain information.
Generally, the process of computing involves transforming sets of symbols as per the defined principles. However, in a blockchain network, computation refers to the “transaction” or keeping track of network activity and records.
Computational logic, or a smart contract that serves as the transaction’s instructions, can be included in each transaction on the blockchain. Each computation or transaction on a blockchain network needs verification from both ends.
Thus, STARKs is a scalable token transfer bridge designed to verify large computations off-chain. Remember that “on-chain” computations are usually much more expensive, requiring processing a fraction of the computation.
However, STARKs make large computational processing cheaper. Moreover, besides reducing the overall cost, these token bridges also “verify” the computations, i.e., generate proof for the authentication of the computation.
Why is STARKs Important?
STARKS enables users to easily make large (cheaper) computations by verifying the computation’s correctness. Such a mechanism simplifies blockchain scalability and allows users to verify a particular computation by following a single STARK proof.
This simple approach towards verifying the integrity of bigger computations has become a game changer in the blockchain industry.
First, users can process thousands of transactions without worrying about the risks of verification failure. It also strengthens the smart contract between the two parties as a single STARK proof protects the values of both.
Further, such a verification approach significantly influences cost management on a blockchain network. Without STARKs, computations are expensive and use more gas energy per transaction. Verifying these transactions is also a more challenging job.
However, using STARKs token bridge helps process multiple transactions where all transactions receive a share of the overall cost of the on-chain process in one batch. It reduces the gas cost per transaction and secures each computation.
In a nutshell, STARKs has been the game of the show with its incredible features. The building block offers low computational cost, enhanced user experience, faster verification, lower gas costs, and increased security.
So, How are STARKs Related to StarkGate?
To understand StarkGate properly, one must understand the relation between STARKs, StarkNet, and StarkGate. There are also other similar terms, like StarkEx, and we’ll explore them on the way.
As mentioned earlier, StarkNet is a STARK-based scaling solution. It is designed by StarkWare as a solution to enhance Ethereum scalability. It goes straight in contrast with the Ethereum smart contract and was presented with another StarkWare solution called StarkEx.
As far as StarkGate is concerned, it is the first version of the StarkNet bridge. It serves as a token transfer bridge from StarkNet to Ethereum and vice versa.
StarkWare designed two solutions for Ethereum scalability, one of them being the StarkNet. StarkGate is its official token bridge where users can transfer ERC20 tokens between Ethereum and StarkNet.
Further, unlike other alternatives where users are forced to compromise on security, scalability, and liquidity when making higher computations, StarkGate offers comfort, efficiency, and increased scalability.
Because it is a STARK-based solution, it allows contracts within its ecosystem to interact with other contracts, even Ethereum contracts. This “interaction” between contracts is boundless, offering richly versatile protocols.
In other words, the official token bridge connecting Ethereum and StarkNet is called StarkGate. Its maximum transactions for the current Alpha Version are 0.25 ETH and 50 DAI.
Which Tokens StarkGate Support?
The following is all you need to know about tokens supported by StarkGate:
- To employ the fee structure, StarkGate Alpha will first only support ETH on Mainnet. WBTC, USDC, USDT, and DAI support will be added later. Check this repository detailing all the pertinent contract addresses to know more about it.
- StarkGate Alpha on Goerli supports ETH and a few more ERC-20 coins. You can find more details about this in this repository containing the whole list and the pertinent Ethereum and StarkNet contract addresses.
- Note that further down the road there is already speculation of a StarkGate token. Trading on the Alpha network will make you eligible for this airdrop according to airdrop specialists.
Frequently Asked Questions About StarkGate
What is the Process of Creating an Order on StarkGate?
Visit Starkgate.net and log into your account. On the main page, select the Trade section. Here, you will find a list of coins in the Instant window. Find and click on your preferred cryptocurrency; the page will show you all the buy/sell orders.
There are two things to keep in mind here:
- The rates of orders are not fixed, as they can fluctuate with time.
- You can only place an order if the rate is within your balance.
- Each order will have a transaction fee, which you can see before executing your order.
Is StarkGate Exchange Safe?
Even though StarkGate is the ALPHA version of StarkNet, it is a safer platform backed by advanced measures and secured technologies. The system uses two-factor authentication to secure users’ accounts.
More than 95% of the currency circulating on the system resides in cold wallets. The platform uses advanced features like Anti Phishing and Web Application Firewall (WAF) to strengthen security and reliability and protect data against cyberattacks.
In a nutshell, StarkGate is the Alpha version of StarkNet, offering an ecosystem where smart contracts can better interact with each other. The platform also provides other benefits, like increased security, enhanced scalability, and higher liquidity for higher computations.
No doubt, the world of NFT and blockchain is growing rapidly. STARKs is revolutionizing how applications are built on Ethereum, securing them with advanced security measures and offering higher flexibility and comfort to users.