Stacks’ Proof of Transfer protocol allows stacking of STX token (in the user’s own wallet) and earn BTC as a reward. Isn’t this cool?
Stacking is locking your STX temporarily to support the network’s security and consensus. As a reward, you’ll earn the Bitcoin that miners transfer as part of Proof of Transfer. You don’t have to run a node or validate transactions to stack — all you need to do is lock your STX in your wallet temporarily. To participate, you need to meet the minimum amount of STX for a full reward slot or pool together with others.
How to Stack?
There is a minimum amount of STX needed for stacking, but if you have a lessor number, you can stack by delegating to a service that stacks on your behalf. The service will pool STX together and distribute rewards back to the participants. The wallet has an option to delegate by just entering the delegate address. There are many services available to stack STX and earn BTC: https://www.stacks.co/stacking
Reward Dashboard
Till date, 5 cycles have been completed and 20-25% APY has been enjoyed by the stackers as a reward. Each cycle more than 40 BTC has been distributed to Stackers. Cycle 5 summary is as follows:
You can check the details here: https://stacking.club/
Stacking Reward Economics
As Proof of Transfer utilizes BTC consensus, stacking rewards are dependent on BTC as well as STX price changes. The APR or Average Percentage Yeild is in nutshell the total amount of reward that you get for Stacking. APR would vary with each cycle as it depends on how much miners are ready to commit to adding a block in the STX blockchain.
Percentage change in STX, BTC effects stacking reward:
If BTC and STX change relevantly in the percentage the reward remains there is not much change in reward, but if STX increases in % more than BTC does then reward increases exponentially. As a matter of fact STX has created many new ATHs in last many weeks since STX 2.0, the PoX (Proof of Transfer) went live. Hence stackers are diamond handed.
STX Price Chart:
Don't wait start Stacking today!
https://www.stacks.co/stacking
