Don’t sleep on Stacks. Goes together with #Bitcoin like peanut butter and jelly. 🤝🤙
Discussion
How does Stacks actually work? I tried reading about it online and it just sounds like a scam… how is token issuance controlled? How is supply capped? Why is there a need for a token on top of it? It seems like creating a token on top of btc is unnecessary and just a way for the founders to make money
I can provide you resources so you can get a more technical overview but it’s a L2 to Bitcoin. I know some Bitcoiners might not like to think so but it is secured by Bitcoin hash power and Stacks writes to the Bitcoin blockchain. How can it not be a L2 at this point?
Regardless Stacks enables smart contracts that Bitcoin wasn’t designed to do. Things like borrowing and lending come to mind.
The supply cap is 1.8 billion tokens and follows the halving schedule of Bitcoin.
The token is needed simply so you can interact with the protocol. Stacks is unfairly lumped in with pump and dump schemes that have plagued the industry for years but stacks isn’t one of them imo. There are a Solid group of developers and supporters who want to see stacks succeed. Here is a link if you want to learn more.