27 February 2023
Bitcoin Layer 2-Token Stacks Experiences Surge Amidst Rising Interest in DeFi

Unprecedented Growth of Stacks Coin as Demand for Bitcoin-Based NFTs Skyrockets An Inside Look at the Alluring World of Bitcoin Ordinals and DeFi

WORLDWIDE–(COINGECKO)–The Stacks Network is rapidly gaining traction among savvy crypto investors, driven by its potential to redefine Bitcoin’s ecosystem. As a layer 2 companion chain dedicated to Bitcoin, Stacks facilitates the creation of smart contracts, thereby heralding an era of innovative financial products rooted in the world’s most dominant cryptocurrency.

According to recent CoinGecko data, Stacks’ native STX token has witnessed a meteoric rise, soaring by 23% within the last day. Over the week, its appreciation reached a staggering 50%. This upsurge can be largely attributed to the Ordinals protocol’s debut on January 21st. The protocol has reimagined the Bitcoin blockchain by allowing references to digital art to be embedded within petite transactions. Following this innovation, the market capitalization of the STX token surpassed the $1.2 billion mark.

North Rock Digital, in its freshly released investment dissertation, extolled Stacks for its unwavering commitment to decentralized finance (DeFi). The study emphasized Stacks’ ingenious application of smart contracts and its seamless interoperability with Bitcoin, making it stand out amidst a sea of blockchain endeavors.

“Stacks presents a colossal, predominantly untouched market opportunity. It’s a monumental cultural pivot in the community, catalyzed by Ordinals, coupled with the upcoming transformative Stacks enhancement,” shared Hal Press, the founder of North Rock Digital.

Evidently, Stacks has garnered a robust community, fortified by experienced leadership and a lucid growth trajectory. North Rock Digital is bullish on the STX token, predicting exponential returns as Stacks continues to evolve and secure widespread adoption.

Since Ordinals’ inception, it has spurred a rise in Bitcoin transactions, stimulating a renaissance in the Bitcoin network’s development landscape. A contentious subject, Bitcoin scaling, has also been reignited in crypto discussions. To date, Ordinals has witnessed an impressive 197,000 unique inscriptions.

In a comparative analysis, North Rock Digital underscored Stacks’ advantages over rival blockchain platforms, notably Ethereum. With Stacks, users benefit from reduced fees, expedited transactions, and bolstered security.

The study further delved into prospective applications of Stacks technology, encompassing the genesis of decentralized social media platforms, forecasting and trading markets, and novel lending/borrowing mechanisms. Indicative of its potential, these products form the foundation of a whopping $50 billion in token value locked on platforms developed on alternate blockchains, as evidenced by DefiLlama data.

An imminent Stacks upgrade slated for March 20th might further catalyze the STX token’s price ascension. The anticipated Stacks 2.1 upgrade promises a myriad of novel features and enhancements to the protocol.

A flagship feature, “Stacking 2.0,” is set to revamp the Stacks consensus mechanism. Stacking permits STX token holders to commit their tokens, bolstering the network’s security while accruing rewards. This innovation seeks to democratize the process, extending participation opportunities to minor token holders. Additionally, the upgrade will usher in advancements in smart contract functionalities, magnified scalability via a pioneering “microblocks” feature, and enriched support for non-fungible tokens (NFTs).

Source: Coindesk: Allure of Bitcoin Ordinals, DeFi Drives Crypto Funds to Bitcoin Layer 2-Token Stacks