> ## Documentation Index
> Fetch the complete documentation index at: https://natureloved-staxiq-48.mintlify.site/llms.txt
> Use this file to discover all available pages before exploring further.

# StackingDAO

> Liquid stacking protocol — stack STX and keep liquidity with stSTX

## Overview

**StackingDAO** is a liquid stacking protocol that allows you to participate in Stacks consensus and earn stacking rewards while maintaining liquidity. By stacking STX through StackingDAO, you receive stSTX tokens that can be used throughout DeFi while your STX earns yield.

<CardGroup cols={2}>
  <Card title="APY" icon="percent">
    **9.5%** annual percentage yield
  </Card>

  <Card title="TVL" icon="vault">
    **\$89.3M** total value locked
  </Card>

  <Card title="Asset" icon="coins">
    **STX** (Stacks token)
  </Card>

  <Card title="Risk Level" icon="shield-check">
    **Low** risk rating
  </Card>
</CardGroup>

## Protocol Type

**Stacking** — StackingDAO enables liquid stacking, allowing STX holders to earn consensus rewards without locking liquidity.

## Key Features

### Liquid Stacking

Stack your STX and receive stSTX tokens that represent your stacked position while remaining liquid and tradeable.

### No Lock-Up Period

Unlike traditional stacking, you can exit your position anytime by swapping stSTX back to STX.

### Use Stacked Assets

Deploy your stSTX across other DeFi protocols while earning stacking rewards — double yield opportunities.

### Low Risk Profile

Stacking is a native Stacks consensus mechanism with minimal smart contract risk, making StackingDAO a safe yield option.

### Earn Bitcoin Rewards

Stacking rewards are paid in Bitcoin, giving you exposure to BTC while holding STX.

## Supported Assets

* **STX** — Stacks native token for stacking
* **stSTX** — Liquid stacked STX token

## How to Use StackingDAO via Staxiq

<Steps>
  <Step title="Connect Your Wallet">
    Connect your Stacks wallet containing STX to Staxiq
  </Step>

  <Step title="Navigate to StackingDAO">
    Select StackingDAO from the protocols dashboard
  </Step>

  <Step title="Stack Your STX">
    Enter the amount of STX you want to stack
  </Step>

  <Step title="Receive stSTX">
    You'll receive stSTX tokens representing your stacked position
  </Step>

  <Step title="Start Earning">
    Your position begins earning 9.5% APY in Bitcoin rewards
  </Step>

  <Step title="Optional: Use stSTX in DeFi">
    Deploy your stSTX in other protocols for additional yield
  </Step>
</Steps>

## Risk Assessment

### Risk Level: Low

StackingDAO is rated **Low Risk** due to:

* **Native protocol** — Stacking is built into Stacks consensus
* **Minimal smart contract risk** — Simple, audited contracts
* **Strong TVL** — \$89.3M demonstrates significant market trust
* **Battle-tested** — Long operational history
* **Liquid exit** — Can unstake anytime via stSTX/STX swap
* **Bitcoin rewards** — Paid in BTC, not protocol tokens

<Tip>
  StackingDAO is ideal for STX holders who want to earn yield without sacrificing liquidity or taking on significant risk.
</Tip>

## Performance Metrics

| Metric             | Value         |
| ------------------ | ------------- |
| Current APY        | 9.5%          |
| Total Value Locked | \$89.3M       |
| Primary Asset      | STX           |
| Risk Rating        | Low           |
| Protocol Type      | Stacking      |
| Reward Token       | Bitcoin (BTC) |

## External Resources

<Card title="Visit StackingDAO" icon="arrow-up-right-from-square" href="https://stackingdao.com">
  Access the official StackingDAO platform for direct stacking
</Card>

## Why Choose StackingDAO?

* **Maintain liquidity** — Stack without locking up STX
* **Low risk** — Native consensus mechanism with proven security
* **Competitive yield** — 9.5% APY in Bitcoin rewards
* **Flexible** — Exit anytime by swapping stSTX to STX
* **Composable** — Use stSTX in other DeFi protocols
* **Large TVL** — \$89.3M demonstrates ecosystem trust

## Use Cases

### For STX Holders

* Earn stacking rewards without lock-up periods
* Participate in Stacks consensus while maintaining flexibility
* Receive Bitcoin rewards on STX holdings

### For DeFi Users

* Use stSTX as collateral in lending protocols
* Provide stSTX liquidity on DEXs
* Stack yield from stacking + additional DeFi strategies

### For Long-Term Investors

* Earn passive income on STX holdings
* Support Stacks network security
* Accumulate Bitcoin through stacking rewards

## Liquid Stacking Explained

Traditional stacking locks your STX for specific cycles, making them illiquid. StackingDAO solves this by:

1. **Pooling STX** from multiple users to meet stacking minimums
2. **Issuing stSTX** tokens representing your share of the pool
3. **Distributing rewards** proportionally to stSTX holders
4. **Enabling liquidity** through stSTX/STX trading pairs

## Rewards Structure

* **APY**: 9.5% paid in Bitcoin
* **Distribution**: Rewards distributed regularly based on Stacks cycles
* **Claim**: Auto-compounded or claimable depending on configuration
* **Exchange rate**: stSTX/STX ratio adjusts based on accrued rewards

<Warning>
  While StackingDAO is low risk, the stSTX/STX exchange rate may fluctuate based on market demand. During high volatility, you may receive slightly less STX when unstaking.
</Warning>
