Stacking DAO Stacked Stacks BTCPrice

(STSTXBTC)

Stacking DAO serves as a leading infrastructure for STX stacking on the Stacks Bitcoin Layer 2. It provides various stacking services, including stSTXbtc. stSTXbtc is a liquid staking token designed to be backed 1:1 with STX, allowing holders to maintain liquidity while still participating in STX stacking. Each stSTXbtc token represents one STX.

Users acquire stSTXbtc by depositing STX into Stacking DAO. This token enables holders to earn sBTC (synthetic Bitcoin) rewards, which are streamed directly to their wallets after each stacking cycle. Key benefits include earning sBTC yield and points, retaining the liquidity of their STX, and achieving immediate yield without cooldown periods when transitioning from other stacking solutions. Furthermore, stSTXbtc can be utilized across various decentralized finance (DeFi) protocols within the Stacks ecosystem.

Both stSTXbtc and stSTX are liquid staking tokens offered by Stacking DAO, but they differ in their reward mechanisms. stSTXbtc provides sBTC yield, with rewards directly distributed to the holder's wallet. In contrast, stSTX features an auto-compounding mechanism for STX rewards, meaning the underlying value of the stSTX token itself grows over time as accumulated STX rewards increase its backing.

Holders of stSTXbtc earn sBTC rewards, which are paid out approximately every 75 Bitcoin blocks, equating to about every 12 hours. These rewards are claimable at any moment. The estimated annual reward rate for Stacking DAO Stacked Stacks BTC is around 8.81%. Additionally, users can accumulate Stacking DAO Points, which may lead to further benefits. There is also an additional ~5% incentive in sBTC, funded by the Stacks Foundation, for those holding their earned sBTC rewards.

While Stacking DAO’s protocol has undergone audits and is considered highly secure, transferring STX to the protocol introduces smart contract risk. This type of risk arises from interacting with smart contracts, a factor not present with native STX stacking where funds remain in a user's wallet. The Stacking DAO team confirms that user funds are held securely within smart contracts and are not directly accessible by them.

To obtain stSTXbtc, users should visit the Stacking DAO website, connect their Stacks wallet, and choose stSTXbtc as their preferred stacking option, then specify the amount of STX to stack. Unstacking is a straightforward process: users navigate to their active positions, select the stSTXbtc card, and click "Unstack" for a 1:1 conversion back to STX. Switching between stSTX and stSTXbtc is also designed to be seamless and instant, with no slippage.