DeFi Spring Program 2.0

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The Starknet Foundation is building on the momentum of its initial DeFi Spring initiative with the launch of DeFi Spring Program 2.0, a strategic expansion designed to accelerate the growth of decentralized finance on the Starknet ecosystem. Following the success of the first round, this new phase introduces increased funding, enhanced structure, and broader participation opportunities for DeFi protocols and liquidity providers alike.

With a total allocated budget of 90 million STRK—including an additional 50 million STRK for this round—the program aims to solidify Starknet’s position as a leading Layer 2 blockchain for DeFi innovation. By subsidizing yield for liquidity providers across top-performing protocols, the foundation is fueling user adoption, boosting total value locked (TVL), and fostering long-term sustainability in the ecosystem.

👉 Discover how DeFi protocols can grow with ecosystem support

Key Achievements from DeFi Spring 1.0

Before diving into the upgrades of version 2.0, it's important to recognize what the original program achieved:

These results demonstrated strong community engagement and proved that targeted incentive programs can drive meaningful economic activity in emerging ecosystems.

Expanded Program Duration and Funding

DeFi Spring 2.0 will remain active until at least December 31, 2024, with potential extensions based on ecosystem performance and demand. The program officially launched on July 1, 2024, building on the framework established in February 2024 when the initial 40 million STRK were announced.

This extension reflects the Starknet Foundation’s commitment to nurturing organic growth through sustainable incentives rather than short-term boosts.

How the Program Works

At its core, DeFi Spring functions as a liquidity acceleration engine. The Starknet Foundation allocates STRK tokens to qualifying DeFi protocols based on performance metrics. These protocols then distribute the incentives directly to their liquidity providers (LPs) and users via their own reward systems.

Tokens are disbursed fortnightly, ensuring consistent engagement and allowing protocols to plan reward distributions effectively.

Protocol Categorization and Evaluation Criteria

To ensure fairness and transparency, the Starknet Foundation has partnered with OpenBlock Labs to design a structured evaluation framework. Protocols are assessed across four distinct categories:

Category 1: Decentralized Exchanges (DEXs)

Eligibility is determined by the depth of liquidity for approved assets. Protocols with deeper order books and higher trading volumes receive greater allocations.

Category 2: Borrow & Lend Platforms

Protocols in this category are evaluated based on total non-recursive supply of eligible assets. This ensures that only genuine lending activity—free from circular or artificial inflation—is rewarded.

Category 3: Perpetuals & Options Exchanges

Assessment focuses on three key metrics:

This multi-factor model rewards platforms that deliver real utility and sustained user engagement.

Category 4: Other DeFi Protocols (New for 2.0)

A significant addition in this round, Category 4 acts as a catch-all for innovative DeFi applications that accept user deposits and distribute yield—such as yield aggregators, structured products, or insurance protocols.

These protocols are assessed based on their total deposits in eligible assets, opening the door for emerging use cases beyond traditional DEXs and lending markets.

All evaluations are conducted at the discretion of the Starknet Foundation and its designated partners, ensuring flexibility and alignment with ecosystem goals.

NFT Recognition for Participants

In a nod to community engagement, DeFi Spring NFTs have returned for version 2.0. Users who claim STRK rewards during the program period will be eligible to mint commemorative NFTs, with tiers based on reward amounts.

Notably:

This gamified element adds a layer of collectibility and fosters stronger emotional investment in the ecosystem.

Who Can Participate?

The program is open to two main groups:

For DeFi Protocols

If your protocol operates on Starknet and meets the criteria for any of the four categories, you're encouraged to apply. Participation offers:

👉 Learn how your protocol can qualify for ecosystem incentives

For Liquidity Providers

Individuals providing liquidity to participating protocols benefit from boosted yields, thanks to the foundation-subsidized rewards. There's no centralized application—simply engage with supported platforms and earn rewards through their existing distribution mechanisms.

Frequently Asked Questions (FAQ)

Q: When does DeFi Spring 2.0 end?
A: The program runs until at least December 31, 2024. Any extension will be announced in advance.

Q: How are protocols selected for participation?
A: Selection is based on performance metrics within each category, assessed by the Starknet Foundation and OpenBlock Labs. Final decisions rest with the foundation.

Q: Can new protocols join after the program has started?
A: Yes, applications are reviewed on an ongoing basis. Eligible protocols may be added during the program period.

Q: Are there restrictions on which assets qualify?
A: Yes, only specified “eligible assets” count toward evaluation metrics. The list is determined by the foundation and may evolve over time.

Q: How often are STRK tokens distributed?
A: Tokens are sent to protocols every two weeks based on verified performance data.

Q: Is there a cap on how much a single protocol can receive?
A: While there’s no public cap, distribution is designed to promote broad participation and prevent centralization of rewards.

How to Apply

DeFi protocols interested in joining DeFi Spring 2.0 can submit their application through the official portal. Approval is subject to meeting category-specific criteria and availability of funding.

👉 Explore opportunities for DeFi growth on leading blockchains

Core Keywords

By combining strategic funding, transparent evaluation, and community recognition, DeFi Spring 2.0 sets a new benchmark for ecosystem development programs in Web3. As Starknet continues to scale, initiatives like this play a crucial role in attracting builders, users, and long-term value to the network.