Stacks Records 12% Growth Despite Crypto Market Lull

Divya  |  Jul 12, 2021

It’s a good time to be a Stacks(STX) investor as the token recorded 12% growth to reach the $1.39 mark in a weeklong show of good performance. According to market data, Stacks is up 61% since last Sunday even as the $1.4 trillion crypto market remains largely sluggish. However, the digital asset is trending much lower than its all-time high price of $2.82 in April.

Stacks Posts Major Gains Amid Crypto Market Stagnation

Developed by Hiro, the platform formerly known as Blockstack PBC, the Stacks network enables smart contracts on Bitcoin and makes it programmable. This paves the way for NFTs, digital assets, and decentralized applications on the Bitcoin blockchain that is traditionally used for payments and investments.

The network is powered by a proof-of-transfer(PoX) consensus since the launch of its 2.0 upgrade in January, which enables STX investors to lock their holdings for two weeks to earn Bitcoin rewards of up to 18% in a year. With OkCoin’s staking cycle coming to an end in two days, STX holders can stake their assets in the token to collect whatever remains from the estimated 10% annual return in Bitcoin.

Additionally, Boombox NFTs are now available for Stack’s twelfth staking cycle and STX owners holding more than 100,00 tokens can lock their assets using Hiro’s Stacks Wallet. Investors who have accumulated more than enough STX can generate Boombox NFTs on Friedger Pool, that represent the rewards of their stacked tokens. 

Stacks’ History As Decentralized Token 

In May, Stacks ceased to be a US security when it was declared a decentralized utility token by its founders. Hiro’s CEO Muneeb Ali personally wrote a blog post explaining the decision and stated, "We expect this to be our last annual report filing, marking the end of a nearly two-year journey since Hiro’s SEC-qualified offering of Stacks tokens (STX) in July 2019."

Blockstack was a milestone for the crypto sector as it was the first blockchain firm to receive approval for an initial coin offering(ICO) from the US Securities and Exchange Commission in 2019. This meant Blockstack could sell its tokens to the public in the capacity of a registered security.

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