sBTC Cap-3 Milestone and Surge 4 Launch

The sBTC Cap-3 milestone marks a significant expansion of Stacks' sBTC protocol, which enables Bitcoin to interact with smart contracts on the Stacks Layer 2 network. By raising the cap to 5,000 BTC, Stacks aims to accommodate growing demand and facilitate more decentralized applications (dApps) built on Bitcoin sBTC Cap-3 and Surge 4. Surge 4, launching simultaneously, celebrates this milestone and introduces enhancements to the protocol, making it more accessible and efficient for users.

This event is crucial for the crypto community as it bridges Bitcoin's security with the programmability of smart contracts, potentially attracting a broader range of developers and investors. The expected impact includes increased adoption of Bitcoin in DeFi and other innovative use cases, strengthening Stacks' position as a leading Bitcoin Layer 2 solution.

Recent News

Stacks has been on an upward trajectory, with recent developments underscoring its growth. In March 2025, Stacks announced a partnership with Circle to integrate USDC on the Stacks network, enhancing its utility for cross-chain transactions Stacks & Circle Partnership. Additionally, the network's Total Value Locked (TVL) surged to $1.2 billion in April 2025, a 50% increase from the previous quarter, driven by the popularity of sBTC and new dApps Stacks TVL Growth.

The successful rollout of sBTC Cap-2 in early 2025, which saw the 3,000 BTC cap filled within hours, demonstrated strong community interest and set the stage for Cap-3 sBTC Cap-2 Success. These milestones highlight Stacks' momentum and readiness for further expansion.

Future Plans

Looking ahead, Stacks is committed to scaling its ecosystem. The roadmap includes the full integration of sBTC by late 2025, aiming to remove all caps and allow unlimited Bitcoin to be bridged to Stacks Stacks Roadmap. This move is expected to unlock unprecedented liquidity and innovation, positioning Stacks as a cornerstone of Bitcoin's DeFi landscape.

Additionally, Stacks plans to introduce a new governance model in 2026, empowering the community to influence protocol upgrades and resource allocation, fostering a more decentralized and resilient network Stacks Governance Model.

Onchain Data

As of May 24, 2025, Stacks' native token, STX, is trading at $1.85 USD, with a market cap of $2.7 billion. The network has seen a 30% increase in daily transaction volume over the past month, reaching 1.2 million transactions, reflecting growing activity STX Price and Transaction Data. The sBTC protocol currently holds 2,950 BTC, nearing the Cap-3 threshold, indicating robust demand sBTC Holdings.

Community Sentiment

The crypto community on X has expressed enthusiasm for the Cap-3 milestone and Surge 4 launch. Influencers like @alexGo

.btc have highlighted the potential for sBTC to "unlock Bitcoin's full potential," while community members anticipate increased DeFi opportunities Community Reactions on X. However, some caution against over-leveraging due to Bitcoin's volatility, reflecting a balanced sentiment Risk Discussions on X.

Additional Insights

The launch of sBTC Cap-3 comes at a time when Bitcoin's dominance in the crypto market is at 52%, with increasing interest in Layer 2 solutions Bitcoin Market Dominance. Competitors like Lightning Network and Rootstock are also expanding, but Stacks' focus on smart contracts and DeFi sets it apart, potentially attracting users seeking more than just payment solutions.

Risk Disclaimer

While sBTC Cap-3 and Surge 4 promise significant benefits, cryptocurrency investments involve risks, including market volatility and technical challenges. Users should conduct thorough research and consider their risk tolerance before engaging with the protocol.

Conclusion

Mark your calendars for May 15, 2025, as Stacks pushes the boundaries of Bitcoin's capabilities with sBTC Cap-3 and Surge 4. This event is not just a milestone but a leap towards a more programmable and decentralized Bitcoin ecosystem. Join the movement and be part of the future of finance!