Stacks Launches Dual Stacking: Earn Bitcoin While Keeping Full Custody

Sat Nov 08 2025
Stacks introduces Dual Stacking — a Bitcoin-native yield system combining sBTC and STX, letting users earn BTC rewards while keeping full custody. Proof of Transfer powers this next evolution of Bitcoin DeFi.

Stacks Unlocks “Dual Stacking” — Earn Bitcoin While Keeping Full Custody

Bitcoin just got an upgrade: Stacks’ new Dual Stacking lets holders earn BTC yield without ever giving up control of their coins.


⚡ Quick Facts

  • 🪙 Feature: Dual Stacking (BTC + STX)
  • 💰 Yield: Bitcoin rewards, ~9% APY + boosted stacking
  • 🔐 Custody: 100% user-controlled BTC
  • ⛓️ Tech: sBTC + Proof of Transfer (PoX)
  • 🌍 Use Cases: DeFi, staking, yield farming, and lending

🔓 Turning Bitcoin Into an Income Machine

For years, Bitcoin has been the ultimate HODL asset — valuable, yes, but static. Stacks just flipped that narrative with Dual Stacking, a system that lets you earn Bitcoin on your Bitcoin — no middlemen, no custodians, and no lockups.

Here’s the play: You mint sBTC, a 1:1 Bitcoin-backed token secured by Stacks’ decentralized signer network. Then you pair it with STX, Stacks’ native token, to amplify your rewards — effectively earning Bitcoin yield while keeping your BTC fully self-custodied.

“Dual Stacking lets BTC holders earn, participate, and stay sovereign — it’s Bitcoin DeFi without the compromise.” — Stacks core team


⚙️ How Dual Stacking Works

  1. Mint sBTC: Lock your BTC into the sBTC bridge — a decentralized, threshold-signature network that removes single-operator risk. You receive sBTC 1:1 backed by Bitcoin.
  2. Add STX to Boost Rewards: Pair sBTC with STX to multiply your Bitcoin rewards. Even a 1–2% allocation in STX relative to your BTC can significantly increase yield.
  3. Deploy in DeFi: Use your sBTC across Stacks’ growing DeFi ecosystem — lending, pooling, yield strategies — while earning additional BTC.

Rewards are distributed every two weeks in sBTC and redeemable 1:1 for BTC — no lockups, no shady lending, no centralized custody.


🧠 Powered by Proof of Transfer (PoX)

At the core of Stacks lies Proof of Transfer, a mechanism that channels Bitcoin directly from miners to stackers securing the network.

Dual Stacking leverages this model — rewards are voluntarily contributed by network participants and distributed transparently via smart contracts.

A square-root reward curve ensures early participants get the biggest boost, while later commitments add stability without diluting the system.

It’s sustainable, transparent, and completely Bitcoin-native.


🌐 Why It Matters

Dual Stacking bridges two worlds:

  • Bitcoin’s trust-minimized security
  • DeFi’s composable yield

You keep your Bitcoin. You earn Bitcoin. You stay decentralized.

Since launching sBTC in December 2024, Stacks has processed real BTC transactions securely, proving the system’s resilience. Now, Dual Stacking transforms that infrastructure into a living yield engine for Bitcoiners.

“Bitcoin doesn’t just sit anymore — it works for you.”


🧩 TL;DR

Stacks’ Dual Stacking merges BTC and STX to generate Bitcoin yield while keeping coins self-custodied. sBTC tokens enable on-chain liquidity, Proof of Transfer ensures trustless distribution, and users earn BTC directly — turning Bitcoin into a productive, decentralized asset.


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