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STX
Stacks
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What is STX?

Stacks (STX) is a scaling solution for the Bitcoin network which aims to create decentralised applications on the Bitcoin network. The Stacks network uses a Proof-of-Transfer (PoT) consensus mechanism and like other scaling solutions, secures its network through the Bitcoin network. PoT requires users of the network to stake STX on the network to earn Bitcoin. The Bitcoin rewards are generated from Stacks miners that commit Bitcoin to the network for a chance to mine blocks on the network and earn STX. This consensus mechanism is used because it secures the Stacks network using the Bitcoin network’s security whilst also scaling the network with no additional transactions on layer 1. The stacks network is unique because it looks to extend Bitcoin’s functionality without needing to fork or change the original Bitcoin blockchain. STX was also the first cryptocurrency to receive SEC qualification for a sale in the United States.

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