Starknet DeFi TVL Falls 73.8% Across Readings After Extended Move

Starknet’s tracked total value locked (TVL) in decentralized finance (DeFi) fell 73.8% between Oct. 21 and Oct. 24, a $116.37 million decline spanning Extended’s settlement move to Arc.

TVL measures the dollar value of assets held in decentralized finance applications on a network. The dated readings put Starknet’s TVL at $157.76 million on Oct. 21 and $41.39 million on Oct. 24. Stablecoin market capitalization followed a similar path, dropping from $148.12 million to $36.74 million across those dates, a calculated decrease of about 75.2%.

Extended completed its settlement shift from Starknet to Circle’s Arc on Thursday, Oct. 22. The move was scheduled to start at 9 a.m. ET (13:00 UTC). Extended’s settlement move from Starknet to Circle’s Arc was completed Thursday, Oct. 22.

The TVL decrease between the two dated readings is $116.37 million, which does not equal Extended’s reported $120 million migration. The difference is $3.63 million. The decline in tracked TVL alone does not show that assets were lost.

Extended’s move concerned its settlement and trading operation on Starknet. Separately, a Starknet governance poll that closed Thursday, Oct. 22, showed 93.52% of voting power favored research into an independent, post-quantum Layer 1. The poll authorized research, not a transition away from Ethereum.

Starknet currently operates as an Ethereum Layer 2. The Starknet Foundation has identified the Ethereum-dependent bridge and data availability as factors in studying a path to post-quantum security. StarkWare and the Foundation will coordinate research into technical requirements, trade-offs and ecosystem effects.

The Foundation said formal approval would be sought after research and design conclude. Further community votes would follow if the work supports moving ahead; the poll set no transition date.