How to Participate as a Stacker
Participating as a Stacker in the Stacks Blockchain is an essential role to ensure the liveliness of sBTC. To become a Stacker, you must hold and temporarily lock STX, Stacks’ native currency, and support the network’s security and consensus. As a reward, you earn BTC.
There are multiple ways for you to stack and earn Bitcoin - either through an exchange, a non-custodial stacking service, or independently. The most appropriate choice depends on your crypto experience and the amount of STX you have at your disposal. For direct participation, Stacks holders need a dynamic minimum amount of STX (approximately 100,000k STX during the mainnet, but this amount fluctuates based on overall participation and supply. See the pox endpoint of the Hiro API to get the minimum of the next cycle). If you don't meet this minimum, you can still participate by leveraging third-party Stacking delegation services. These services combine your holdings with others, allowing joint participation. A complete breakdown of the stacking mechanism can be found in SIP-007.
Below is a documentation guide that outlines the steps to participate as a Stacker in the Stacks blockchain network, along with the responsibilities and actions involved in the role. Options for stacking through an exchange a stacking service can be found on the stacks.co stacking page.
Stacking Through an Exchange
Choose an Exchange Select a reputable cryptocurrency exchange that offers Stacking services for STX.
Create an Account If you don't have an account on the chosen exchange, sign up for one. Complete the necessary verification procedures.
Deposit STX Deposit the desired amount of STX into your exchange account.
Navigate to Stacking Section Go to the Stacking section or menu within the exchange platform.
Select Stacking Options Choose the stacking options that suit your preferences, such as the duration and amount to be stacked.
Start Stacking Confirm the stacking process on the exchange platform. Your STX will be locked for the chosen stacking period, and you'll start earning rewards. The exchange will fulfill your signing obligations on your behalf according to their own configurations.
Monitor Stacking Rewards Keep track of your stacking rewards on the exchange platform. The rewards will typically be automatically credited to your account.
Stacking Through a Non-Custodial Stacking Service
Choose a Non-Custodial Stacking Service Research and select a reputable non-custodial Stacking stacking service that aligns with your preferences and goals.
Set Up a Stacks Wallet Ensure you have a compatible Stacks wallet that supports Stacking. Examples include the Stacks Wallet or other wallets that are Stacking-enabled.
Acquire STX Acquire the desired amount of STX to participate in the Stacking stacking service.
Register with the Stacking Service Follow the registration process for the chosen stacking service. Provide the necessary details, including your wallet address.
Delegate Your STX Delegate your STX holdings to the stacking service. This process allows the stacking service to participate in Stacking on your behalf while your STX remains under your control. The stacking service will fulfill your signing obligations on your behalf according to their own configurations.
Receive Stacking Rewards As part of the stacking service, you'll receive Stacking rewards proportionate to your contribution. The rewards will typically be automatically distributed to your wallet by the stacking service operator.
Independent Stacking
Set Up a Stacks Wallet Choose a compatible Stacks wallet that supports Stacking. Download and install the wallet on your device.
Acquire STX Acquire the dynamic minimum amount of STX required for independent Stacking. As of now, this amount is approximately 100,000k STX, but verify for any updates on this requirement.
Setup or Select a Signer To fulfill your obligation to validate and sign sBTC transactions, you must first select or setup a Signer
Register as a Stacker After setting up your wallet and acquiring the required STX, register as a stacker on the Stacks Blockchain. The registration process may vary based on wallet providers.
Start Stacking Once registered, your wallet will facilitate the process of participating in the Stacking consensus and validating transactions. You will earn STX rewards for your contributions to securing the network.
Conclusion
Stacking in the Stacks Blockchain is a rewarding way to participate in the network's consensus and earn BTC rewards. Choose the method that aligns with your preferences, and always prioritize security when participating in Stacking. Remember to research the chosen exchange or stacking service and stay informed about any updates or changes to the Stacking process.
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