Stack STX with Leather Earn

About Stacks

Stacks is a Bitcoin L2 that enables smart contracts and decentralized applications to use Bitcoin as a secure base layer. The native token on the network is Stacks (STX) which is used for smart contracts execution, transaction processing, and digital asset registration on the Stacks blockchain.

About Stacking

Stacks introduces the concept of "Stacking", where you temporarily lock up your tokens to participate in the Stacks network's security and earn BTC rewards.

Here are the key points of Stacking:

Parameters	Stacks
Stacking Options	To stack your tokens and contribute to the Stacks' consensus mechanism, you have several options: - In a pool - On an exchange - Liquid stacking - Do it yourself (solo stacking). Learn more here .
Minimum Staking Amount	The minimum STX for Stacking is dynamic. Currently, the minimum threshold for Stacking is 130,000 STX. For Liquid Stacking, no minimum required.
Reward Cycle	The total length of the cycle is 2100 BTC blocks. Each block is generated approximately every 20 seconds, with an average cycle duration of 14 days. The preparation phase is 100 blocks.
Unbonding Time	It is up to 15 days, depending on when the STX is stacked in the 15-day Stacks cycle.
Slashing Risk	There is no slashing mechanism for Stacks.
Staking Rewards Distribution	Stacking rewards are paid in BTC, not STX. At the end of the cycle, the original STX tokens will be unlocked to participate without any deduction.
Staking Rewards Compound	You don’t compound earnings through STX. You only receive the original STX you locked up.

Nakamoto Upgrade: Blockdaemon’s Role

As part of the Stacks Nakamoto upgrade, Blockdaemon will serve as a Signer. As a Signer, we sign and validate blocks produced by Stacks miners, verify sBTC mint and redeem transactions, and secure BTC rewards for our work.

To receive PoX rewards for stacking STX tokens, Stackers must either become Signers themselves or delegate this responsibility to a trusted Signer like Blockdaemon.

Tutorial: Liquid Stacking with Leather Earn

Liquid Stacking lets you delegate your STX tokens to a provider in exchange for a new token (e.g., stSTX), which you can use in DeFi and other apps while still earning BTC rewards. Third parties like StackingDAO and LISA handle the technical side of Liquid Stacking.

This tutorial will guide you through liquid stacking using StackingDAO.

Step 1: Setting up Leather

Install and set up the Leather wallet.

Click the menu button in the top right, and choose Change network. Select the network you want to stack on. For example, select Mainnet.

Step 2: Stack STX

Go to the Leather Earn site and connect the wallet.

Connect your Leather wallet.

Select Stack liquid.

You'll be prompted to the Liquid Stacking page. Choose StackingDAO as your protocol.

Enter the amount of STX you want to stack (minimum 1 STX).

Make sure you have enough STX to cover transaction fees

Review and confirm the details, then select Confirm and start liquid stacking.

You will be prompted in your Leather Wallet:
1. Verify all transaction details
2. Set the transaction fee (optional). Higher fees can speed up confirmation. Learn more here
3. By default, any liquid stacking protocol will stack your STX indefinitely until you decide to unstack
Click Confirm to finalize your Liquid Stacking.

A status page will appear to track your Liquid Stacking progress. Your STX balance will update to reflect the locked amount for Liquid Stacking.