Stacks’ STX token surges 50% in four weeks on Bitcoin staking interest

STX token surges — The native token of the Bitcoin layer-2 project Stacks, STX, has rallied sharply, gaining nearly 10% in 24 hours and over 50% in the past four weeks, significantly outperforming major cryptocurrencies like bitcoin and ether.

Analysts point to growing investor interest in Stacks’ unique non-custodial bitcoin staking architecture as a key driver. This system allows Bitcoin holders to stake their assets and earn yield directly on the main Bitcoin blockchain without relinquishing control of their private keys.

This contrasts with traditional yield-earning methods that often require users to wrap their bitcoin into synthetic tokens or move funds across potentially vulnerable cross-chain bridges. The Stacks framework utilizes a “bonding” mechanism to facilitate this direct staking.

The rally for STX comes amid choppy and range-bound trading for the broader cryptocurrency market, highlighting a focus on specific protocol narratives and technological advancements within the Bitcoin ecosystem.