STX Emerges as Top Weekly Performer Amid Bitgo Collaboration Driving Institutional Interest.

Liquidity across the Stacks DeFi ecosystem has exploded this year, with stablecoin supply jumping more than 400% in the first quarter alone, signaling growing momentum for Bitcoin-based decentralized finance.

Stacks’ native token, STX, has rallied 56% over the past week, making it the best performer among the 100 largest cryptocurrencies. Institutional interest has been a key driver behind the move, pushing STX to a two-month peak of $0.92 on Friday, after a 21% gain in just 24 hours, according to CoinDesk data.

As the top layer-2 platform for running smart contracts and dapps on Bitcoin, Stacks is gaining new attention thanks to BitGo. The digital asset custodian and WBTC backer has integrated sBTC — a synthetic bitcoin asset pegged 1:1 to BTC — enabling its clients to access yield opportunities within the Stacks ecosystem.

“sBTC enables programmable, decentralized financial products without straying from Bitcoin’s core ethos — and this is just the beginning,” said Abishek Singh, product manager at BitGo. “With $3 trillion in transactions processed and $48 billion staked, BitGo is well-positioned to lead institutions into Bitcoin’s next frontier.”

STX is critical to the Stacks network, powering smart contracts, facilitating governance, bridging Bitcoin and Stacks, and fueling the proof-of-transfer consensus mechanism, which lets participants earn BTC by locking their STX tokens.

The upcoming launch of sBTC withdrawals, scheduled for April 30, is expected to further strengthen the bridge between Bitcoin and Stacks. Institutions will be able to move effortlessly between BTC and sBTC, unlocking new application possibilities built on Bitcoin’s unmatched security and Stacks’ smart contract capabilities.

DeFi Liquidity Accelerates

Stacks’ expanding DeFi ecosystem continues to see sharp growth. On Friday, the team announced on X that stablecoin supply had risen over 400% in Q1, ranking behind only Morph and Cronos.

According to DefiLlama, stablecoin liquidity surged from about $1 million in early January to nearly $7 million today — a sign that Bitcoin-native DeFi is gaining serious traction.