StarkNet is a general purpose ZK-Rollup built using STARK cryptographic proof system. StarkNet uses the Cairo programming language both for its infrastructure and for writing StarkNet contracts. L2 <--> L1 messaging infrastructure is available and contracts are fully composable. It is currently launched with a single Sequencer.
Funds can be stolen if…
Funds can be lost if…
Funds can be frozen if…
Users can be censored if…
MEV can be extracted if…
Each update to the system state must be accompanied by a ZK Proof that ensures that the new state was derived by correctly applying a series of valid user transactions to the previous state. Once the proof is processed on the Ethereum blockchain the L2 block is instantly finalized.
Despite their production use ZK-STARKs proof systems are still relatively new, complex and they rely on the proper implementation of the polynomial constraints used to check validity of the Execution Trace.
- Funds can be lost if the proof system is implemented incorrectly.
State diffs are publish on-chain as calldata on every state update. The state diffs contain information on every contact whose storage was updated, and additional information on contract deployments. From diffs full system state can be recovered.
The operator is the only entity that can propose blocks. A live and trustworthy operator is vital to the health of the system. Typically, the Operator is the hot wallet of the StarkNet service submitting state updates for which proofs have been already submitted and verified.
- MEV can be extracted if the operator exploits their centralized position and frontruns user transactions.
The user initiates the withdrawal by submitting a transaction on L2. When the block containing that transaction is proven the funds become available for withdrawal on L1. Finally the user submits an L1 transaction to claim the funds. This transaction does not require a merkle proof. Note that the withdrawal request can be censored by the Sequencer.
- Funds can be frozen if the operator censors withdrawal transaction.
There is no generic escape hatch mechanism as StarkNet cannot be frozen. Application developers can develp app-specific escape hatches that could allow users to exit funds when L2 app is frozen. Note that freezing mechanizm on L2, to be secure, requires anti-censorship protection.
The system consists of the following smart contracts:
- StarkNet contract receives (verified) state roots from the Sequencer, allows users to read L2 -> L1 messages and send L1 -> L2 message.
- Starkware SHARP verifier used collectively by StarkNet, Sorare, Immutable X and DeversiFi. It receives STARK proofs from the Prover attesting to the integrity of the Execution Trace of these four Programs including correctly computed L2 state root which is part of the Program Output.
- MemoryPageFactRegistry 0x9637…DD8BMemoryPageFactRegistry is one of the many contracts used by SHARP verifier. This one is important as it registers all necessary on-chain data such as StarkNet contracts state diffs.
- Starkgate bridge for ETH. This contract stores the following tokens: ETH.
The current deployment carries some associated risks:
- Funds can be stolen if a contract receives a malicious code upgrade. There is no delay on code upgrades (CRITICAL).