July 13, 2025

Stacking DAO Cycle Update: $5M+ in Borrowing Powered by LSTs

Stacking DAO Cycle updates is the perfect format for the community to explore the latest news and milestones.

Stacking DAO’s growth shows no signs of slowing down. Liquid stacking has been rising steadily in recent months, driven by stSTX and stSTXbtc, on top of the consistent TVL growth in the Stacking DAO native pool.

STX liquid stacking has been on a steady rise in recent months, with no signs of slowing down.

All driven by stSTX and stSTXbtc growth. pic.twitter.com/pPkvnZfAii
— Stacking DAO (@StackingDao) July 8, 2025

DeFi Updates Related to Stacking DAO

You can now swap stSTXbtc with any Stacks token on Bitflow. This unlocks greater utility and gives users more flexibility to enter or exit their position with ease.

stSTXbtc swaps are now live on Bitflow! 🌊

You can now swap in and out of your stSTXbtc position and back to STX or any major SIP10 token anytime.

Full flexibility.
Earn BTC yield and stay liquid. 💧💰 pic.twitter.com/yLCk5hbYPq
— Bitflow (@Bitflow_Finance) July 1, 2025

stSTX and stSTXbtc are acting as collateral for around $5M in borrowed liquidity effectively acting as Pristine collateral for Stacks.

They unlock new yield strategies like using LSTs as collateral to borrow cheap aeUSDC (thanks to $1.3M inflow on Zest), swap it for USDh and stake it on Hermetica for up to 25% yield.

Stacking DAO’s LSTs are becoming the pristine collateral of Stacks.

~$5M in borrowing is now powered by stSTX and stSTXbtc.

stSTX and stSTXbtc aren’t just passive assets; they’re powering the next wave of Bitcoin-native DeFi. pic.twitter.com/d58piZiA14
— Stacking DAO (@StackingDao) July 11, 2025

Want to make the most of your stSTX and stSTXbtc in DeFi? Here’s a full breakdown of how you can put Stacking DAO’s LSTs to work across the Stacks ecosystem.

stSTX and stSTXbtc have unlocked over 75M STX in liquidity.

Now users can earn up to 10% APY in stacking rewards, while putting that capital to work across DeFi.

So what exactly can you do with LSTs on Stacks?

Let’s break it down 🧵⬇️
— Stacking DAO (@StackingDao) July 10, 2025

Other initiatives and news related to Stacking DAO

Stacking DAO products have been a key catalyst for Stacks’ liquidity and DeFi growth. Here’s a quick recap of stSTX, stSTXbtc, the Native Pool, and the Stacking Tracker:

Stacking DAO kicked off the Stacks DeFi renaissance 1.5 years ago by launching an LST that unlocked major liquidity.

Since then, it’s grown into a platform with multiple products tailored to the Stacks community.

Here’s a quick overview. 🧵⬇️ pic.twitter.com/2QaLe5OjB7
— Stacking DAO (@StackingDao) July 3, 2025

Want to catch up on the latest in the Stacks ecosystem? Don’t miss the latest edition of the 'What’s Happening on Stacks' thread:

What's happening on @Stacks?

Here is everything you need to know about from the last few weeks. 🧵 ⬇️ pic.twitter.com/QQ2OritlBE
— Stacking DAO (@StackingDao) July 7, 2025

SIP-031 has seen strong support from Stacking DAO users. The majority of stSTX, stSTXbtc, and native pool participants are voting in favor, showing confidence in the proposal and its growth-focused endowment.

Over 99% of voters on Stacking DAO have backed SIP-031 so far.

Currently, 2.5M STX deposited on the protocol has been used to cast a vote.

You still have ~10 days to cast your vote using stSTX, stSTXbtc, or natively stacked STX. pic.twitter.com/9TkcZx9whR
— Stacking DAO (@StackingDao) June 30, 2025

Finally, Stacking DAO has processed another ~129,239.00 STX (for stSTX) and ~0.4049 sBTC (for stSTXbtc) in Stacking rewards.

1) stSTX reward transaction

2) stSTXbtc reward transaction

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Stacking DAO Details:

Earn up to 10% yield on your STX today with Stacking DAO: https://app.stackingdao.com/

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The latest news, product updates, thought leadership, and more from the StackingDAO team.