> For the complete documentation index, see [llms.txt](https://docs.leather.io/llms.txt). Markdown versions of documentation pages are available by appending `.md` to page URLs; this page is available as [Markdown](https://docs.leather.io/learn/what-makes-stacking-on-stacks-different-from-staking.md).

# What Makes Staking on Stacks Different?

STX-only staking on Stacks locks STX and pays rewards in sBTC, funded by the BTC Stacks miners spend. How it differs from proof-of-stake staking, formerly called Stacking.

On a proof-of-stake chain such as Ethereum, you lock the chain's token and earn more of the same token. On Stacks you lock STX and earn sBTC, which is backed by BTC. Stacks called this Stacking until PoX-5 replaced it with STX-only staking in July 2026.

## Proof of Transfer

Stacks uses Proof of Transfer (PoX), not proof of stake.

* **Miners** spend BTC for the chance to produce Stacks blocks. The more BTC a miner spends, the likelier it wins. The winner earns new STX and fees.
* **Signers** approve each Stacks block. Signers are chosen through staked STX.
* **Stakers** lock STX with a signer's pool for one or more reward cycles.

Since PoX-5, the BTC miners spend goes to an sBTC deposit address controlled by the protocol. The protocol pays it out as sBTC rewards to stakers.

PoX-5 also added Bitcoin Staking, in which participants lock BTC as sBTC in a protocol bond. STX-only staking needs no BTC.

## What this means for you

* You stake STX and earn sBTC, a different asset from the one you lock.
* You need no hardware: you stake with a pool from a wallet such as Leather.
* Rewards vary with miner spending and with how much STX is staked network-wide.

See [Getting started with STX-only staking](/stacking/getting-started-with-stacking.md) and [What Is Proof-of-Transfer (PoX)?](/learn/proof-of-transfer-pox.md).