Stacks Bond 2 Paid 1.21 BTC in Rewards After Enrolling 505 BTC

Stacks’ second Bitcoin (BTC) staking bond enrolled 505 BTC and paid 1.21 BTC in rewards, with a liquid staking product supplying most of the deposits and more than 6.7 million STX committed alongside the BTC.

Bond 2 filled its roughly 500 BTC capacity by Oct. 12. Participants commit Stacks’ native token, STX, worth about 5% of the BTC they stake. The six-month bonds target an annualized yield of about 3%, with rewards distributed weekly in BTC from Stacks miners’ earnings.

Stacking DAO’s stBTC product accounted for about 483 BTC. An Xverse pool also helped draw participants. Holders using stBTC can continue earning bond rewards while using their positions in Stacks decentralized finance applications; one example is borrowing USDC on Zest Protocol without unstaking BTC.

The first two bonding periods attracted about 735 BTC combined, including Bond 2’s 505 BTC. The bonds run under PoX-5, which went live July 30. Since then, total STX staked rose from 392 million to 493 million, an increase of more than 25%.

Stacks founder Muneeb Ali said the on-chain staking mechanism was working as intended and indicated that future cycles may offer more capacity.