Panama City, Panama – Bitcoin DeFi is taking a bold step forward. Velar, the leading Bitcoin-based liquidity protocol, has joined forces with StackingDAO to introduce a groundbreaking STX/stSTX stableswap pool on Stacks. This innovative partnership addresses a pressing liquidity challenge in the Stacks ecosystem while unlocking new yield opportunities for STX and stSTX holders.
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Unlocking Liquidity for STX Stakers
The new trading pair on Velar DEX allows easy, low-fee swaps between STX and stSTX, its staked version. This makes it simpler and cheaper for investors to enter and exit their staking positions. By reducing barriers to participation, the pool is designed to attract both individual and institutional investors to StackingDAO.
Velar and StackingDAO are enticing liquidity providers with dual incentives:
5,000 VELAR tokens in daily rewards.
A 50% boost in StackingDAO points, which can unlock additional benefits like future rewards and airdrops.
This dual-structured approach not only encourages liquidity provision but also empowers participants to maximize returns while supporting the ecosystem’s growth.
“The stSTX/STX stableswap on Velar DEX brings unmatched efficiency, ultra-low slippage, and innovative protections for liquidity providers. This is a transformative moment for the Stacks ecosystem.”
Philip de Smedt, Co-founder of StackingDAO
Enhanced Functionality for DeFi Users
For advanced DeFi users, the STX/stSTX pool offers a seamless way to harvest additional StackingDAO points while ensuring the liquidity needed for large-scale swaps. Velar’s upgradeable variable midpoint technology further mitigates impermanent loss, making liquidity provision more profitable compared to other pools.
This collaboration strengthens Stacks by aligning two of its leading projects. As the largest DEX on Stacks, Velar provides the infrastructure for seamless token trading. Meanwhile, StackingDAO, the top Liquid Stacking protocol, democratizes access to STX staking while unlocking liquidity for stSTX tokens. Together, they’re driving the ecosystem forward.
“Partnering with StackingDAO to create this first-of-its-kind stableswap pool highlights Velar’s commitment to innovation. Our variable midpoint implementation sets a new standard for liquidity protection, and we’re thrilled to contribute to Stacks’ evolution alongside such a talented team.”
Peter Watson, CMO of Velar
A Vision for Bitcoin’s Future
Velar’s mission to unlock nearly $2 trillion in dormant Bitcoin capital remains central to its efforts. By building liquidity infrastructure on Stacks and other Bitcoin Layer 2s, Velar is paving the way for Bitcoin-native DeFi applications to thrive.
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About Velar
Velar is a leading Bitcoin liquidity protocol designed to unlock the full potential of Bitcoin-based assets. Through tools like Dharma, its AMM on Stacks, Velar delivers robust incentives for liquidity provision and trading, enabling the next wave of Bitcoin DeFi. Learn more: www.velar.co