Xverse launched Bitcoin staking through sBTC on Stacks on Sept. 7, making the feature available in version 2.9 of its self-custodial wallet. In its official launch announcement, Xverse said users can put existing bitcoin to work and receive additional bitcoin through the fee-efficient sBTC representation on Stacks.
The product does not lock native $BTC directly on the Bitcoin base layer. Xverse’s technical overview says participants use sBTC, which is backed one-for-one by bitcoin held through the Stacks signer system, and pair it with $STX. That structure introduces different risks from simply holding $BTC in a wallet.
Staking pairs sBTC with a smaller $STX position
A position combines sBTC with $STX worth roughly 5% of the deposited sBTC, according to Xverse. The $STX is neither a fee nor collateral; it establishes eligibility and links the position to a Stacks identity. The bitcoin-denominated rewards accrue to the sBTC side rather than the $STX balance.
blockchainreporter.net