Continuous Stacking & Increasing lock-ups or "topping off"
Continuous Stacking makes PoX a lot more efficient and composable. Services such as @ArkadikoFinance
that use PoX under the hood will have higher revenue from Stacking and will be more capital efficient.
Once you can leverage continuous stacking and topping off, they can be used in other protocols and used programmatically.
A no-brainer example is to build a liquid stacking protocol such as Lido on Ethereum in which you stake your STX and get a liquid nSTX token while you still receive the stacking yield. Then you would be able to swap your STX with nSTX on @ALEXLabBTC
probably at a premium.
Moreover, upon receiving the BTC yield, a contract could react to that, swap the BTC through @magicstx
to xBTC, swap with STX and re-stack it. Basically compounding the Stacking yield.
From a dev perspective, in @Stacks
2.0 implementing PoX in your own protocol is quite complicated because you would need to manage the PoX cycle state as well for all the users. And make sure the PoX continues after the cooldown. Continuous Stacking makes it a lot easier.