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Soften yeast in lukewarm water. Stir in milk. Blend butter with flour and stir in eggs, sugar, salt, and masticha. Stir in yeast mixture and mix well.
Turn out on floured board and knead for 15 minutes. Place dough in oiled bowl, cover with cloth, and let rise in warm place for 3 hours or until doubled in size. Punch down and knead until smooth. Take small piece of dough and roll out and make 2 crosses. Form remaining dough into 2 loaves and put into large bread pans. Put a cross on top of each loaf and press walnuts along the edge of the cross. Let rise in warm place for 2 hours or until doubled. Brush with beaten egg and sprinkle with sesame seeds.
Bake for 350 for 45 minutes. Add sugar for garnish if needed.
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