What is Happening With Stacks? (STX)

What is Stacks and why is this coin ripping higher? 

Stacks (STX) is a blockchain network that enables developers to build decentralized applications (dApps) and smart contracts on top of Bitcoin. Non-Fungible Tokens (NFTs) are digital assets that are stored on a blockchain, typically the Ethereum blockchain, that represent ownership of unique items such as art, music, or collectibles.

Stacks can be used to build dApps and smart contracts that can support NFTs. Stacks provides a secure and scalable platform for developers to build decentralized applications and NFTs can be a type of digital asset that can be traded or exchanged within those applications.

Moreover, the Stacks blockchain has introduced a new standard called the “STACKS Improvement Proposals” (SIPs) which are similar to Ethereum’s ERC-20 and ERC-721 standards that support fungible and non-fungible tokens respectively. The Stacks ecosystem has also created a marketplace for NFTs called “Clarinet NFTs” which are based on the Stacks blockchain and can be used for a variety of purposes including gaming, art, and collectibles.

Now, as new bitcoin-based non-fungible tokens (NFTs) called Ordinals trigger a surge of user interest and push up the price of the protocol’s stacks cryptocurrency, researchers have predicted the hype could make it a “multi-billion dollar” token.

“Since Ordinals are minted directly onto the [bitcoin] blockchain, they are considered to be ‘digital artifacts’ due to their permanence and immutability on the distributed ledger, unlike traditional NFTs which can be altered by the smart contract developers,” Markus Thielen, head of research at Matrixport, wrote in a research report this week.

“The full potential of the Stacks Network is beginning to get recognized which may fuel the STX token rally even further,” Thielen added.