One of the stars in the crypto sky is Stellar Lumens (XLM). The home of the Stellar Lumens (XLM) is the Stellar network. This is the network on which XLM was built and where it acts as an asset.
Stellar Network and Stellar Lumens Overview
The Stellar network is an open-source, distributed network. It was developed in order to connect payments systems, banks and individuals. Stellar network is also owned by the community. The main focus of Stellar network is facilitating cross-asset transfers.
This means that it enables users to trade across platforms, as well as to do microtransactions. The stellar network is also on a mission to provide everyone with significantly low-cost financial services at maximum speed.
In order to transfer the assets across platforms and to send the money to anyone in a different currency, a user would need to use Stellar Lumens (XLM). It is the official intermediary currency of Stellar network.
Stellar.org is the non-profit organization behind the Stellar network. The network itself was founded in 2014 by the co-founder of Ripple, Jed McCaleb.
The Easiest Way to Buy XLM
Buying cryptos on Coinbase is the easiest way to get your XLM. First, a user must obtain Bitcoin or Ether and then use these currencies to buy XLM. Once a user opens the account on Coinbase there should be a deposit section with a list of selection of coins or tokens to deposit. Choosing either BTC or ETH is the first step in buying an XLM.
The Speed of XLM
As stated above, Stellar Lumens is really fast, as the creators were aiming for speed to be one of the two main advantages of XLM. Therefore, the transaction speed is approximately between 2 and 4 seconds. The other advantage, the transaction cost, is less than 1 cent.
Overview of Advantages of Stellar Network and of Using XLM
People often compare Stellar Lumens to either Ripple or Ether. Possibly because of the many similar features. However, no two digital currencies are exactly the same. Therefore, Stellar Lumens has certain advantages. Here they are:
- Stellar network functions as a blockchain application development platform. This means that this network can serve as a generator of decentralized Apps.
- Using the Stellar blockchain, new cryptocurrencies can be created – the same as with Ethereum.
- Stellar is considered to be a rival to Ethereum, due to the fact that initial coin offerings can run on Stellar blockchain. Rivalry and competition in general can be a driving force for advancement and improvement.
- Stellar network is extremely fast. This provides for no delays and instant transactions.
- The transaction fees are unbelievably low and cost less than a cent.
- Transaction gets verified by decentralized servers. This means that there are no miners competing against each other. All this creates no possibility for delays or high transaction costs.
- Initial Coin Offerings (ICO) are less expensive and faster, enabling businesses to run ICOs on their network, increasing the demand and value of XLM.
Do you have any experience with XLM? Tell us about it.