Stacks Token Surges 27% After Positive Comments From Investor Tim Draper

According to CoinDesk, the native token of Stacks Network, Stacks (STX), experienced a 27% increase on Wednesday following positive remarks from renowned investor Tim Draper. Stacks is a layer 2 network designed to enable smart contracts on bitcoin (BTC) and was distributed through the first-ever U.S. Securities and Exchange Commission (SEC) qualified token offering in 2019. In an interview on CoinBureau, Draper expressed his excitement about Stacks, stating that he has been investing in projects that move important applications over to Bitcoin.

Draper, who previously predicted that bitcoin would rise to $250,000 by 2025, has seen Stacks gain prominence this year due to the emergence of bitcoin-based NFT projects like Ordinals. The amount of capital locked on Stacks has increased from $7 million to $50 million since the beginning of the year, according to DefiLlama. The token, which started the year trading at $0.21, is now at $1.48, its highest level since February 2022, as per CoinDesk data.