Why is layer-1 Stacks (STX) crypto grabbing attention?

Highlights:

• Stacks (STX) is a layer-one blockchain on Bitcoin for smart contracts and Dapps.
• It uses a proof-of-transfer (PoX) consensus mechanism. 
• Stacks will organize a workshop on Web3 for Bitcoin on June 29. 

After its value plummeted below the US$1-trillion mark over the past two weeks, the crypto market gained some traction on Tuesday, with Bitcoin (BTC) trading over 3.8% higher.  

The world’s largest cryptocurrency traded at US$21,270.48 on Tuesday morning after slipping to US$17,700 last week. Ethereum (ETH) also gained 4.33% to US$1,165.30.

Buoyed by the broader market rally, the Stacks (STX) token also climbed. STX’s price increased by 17.26% to US$0.4245 at 4:39 am ET on Tuesday, boosting its market cap to US$559.8 million. Its trading volume surged 492.72% to US$71.85 million in the last 24 hours. 

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In a series of announcements this week, Stacks said that Gamma founder Jamil Dhanani would represent it at the annual NFT event, called NFT.NYC 2022, from June 20-23. More than 1000 speakers are expected to participate in the event, organized for the fourth consecutive year. Gamma is a Stacks-powered open marketplace for Bitcoin NFTs.

Further this month, Stacks will organize a workshop titled “Web3 for Bitcoin: The What, Why, and How of Building on Stacks” on June 29. Stacks Foundation’s Kenny Rogers and Hiro Systems’ Joe Bender will be the resource persons at the event to discuss smart contract language, Stacks and Clarinet updates, Hiro tooling overview, etc.

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What is Stacks (STX)?

Stacks is a layer one blockchain solution on Bitcoin blockchain for smart contracts and decentralized applications (DApps). With Stacks, these smart contracts and DApps can be built on arguably the most secure blockchain in operation with all its powerful existing features such as security and stability. 

Stacks uses the Bitcoin blockchain directly without forking or making any changes to the original Bitcoin blockchain. It uses a proof-of-transfer (PoX) consensus mechanism, where miners pay BTC to mint Stacks (STX) tokens. 

Clarity is its new smart contract programming language with unambiguous syntax. The platform claims the language to be easy and secure to use. Algorand (ALGO) blockchain uses this programming language. 

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Data Source: coinmarketcap.com

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STX token:

The STX token powers the Stacks platform. STX executes smart contracts, transactions, and registration of new digital assets on the Stack 2.0 blockchain. 

It can be traded on crypto exchanges such as Binance, OKX, KuCoin, and Gate.io. The token’s current circulating supply is 1.32 billion, and the total supply is 1.35 billion.

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Bottom line:

Despite a bearish sentiment in the crypto market, the STX token saw significant traction on Tuesday. However, investors should apply due diligence before investing in digital assets.

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