Trading cryptocurrency and navigating blockchain technology can prove confusing for the average investor. There are all kinds of currencies available for purchase, but not all of them are equivalent to one another in value or function. Some allow for a safe place to store your money, while others allow for more opportunities to profit.
Stellar crypto currency is one of your options trading under the symbol XLM. The currency is called the lumen, and it’s available to traders on the Stellar network. What is Stellar crypto, anyway? And why should you start investing in it?
What is Stellar Cryptocurrency?
Stellar lumens are traded between banks, payment systems, and individuals around the world. Like many other forms of currency, it functions to transfer digital currency to fiat money both domestically and across borders.
There are over 20 billion lumens in circulation according to Stellar, and it’s one of the best performing altcoins. As of April 2022, the price of a single XLM was estimated at $0.233 each. However, anyone can use Stellar to represent any desired currency.
For example, a token can represent loyalty points, gift cards, or even physical objects. It’s estimated that XLM will experience exponential price growth throughout the rest of 2022.
The Difference Between Stellar and Other Platforms
Many people think of cryptocurrency as something you invest in to make money. However, many types of tokens out there allow for a wider variety of features other than a way to make money. Ripple and Ethereum are two currencies that allow banks to make transfers more easily and faster.
You may wonder, “What is Stellar crypto for, then?” Stellar lumens are more accessible than the alternatives. They focus more on helping people, especially those in developing countries. The price of admission isn’t high, and direct fiat currency exchange is possible.
It also has the benefits of a smaller, experienced team, which means any problems are addressed more quickly.
How to Buy Stellar Lumens
If you want to buy Stellar lumens, you’ll need to first register an account on a website that supports them. Most exchanges have associated apps that allow mobile transactions. Provide some basic information to get verified as a real person. After you’re verified, you’ll then fund your account with some kind of transfer that will allow you to buy XLM.
Depending on the exchange, you may have to purchase either a cold or hot storage wallet. Cold storage wallets store your coins offline and are more secure than hot storage wallets. When you’re ready to make your purchase, place your buy order through your brokerage account.
Trading on Stellar’s Open Network
What is Stellar crypto for traders, then? It should first and foremost be seen as a way to exchange money between individuals or institutions without charge or restriction. Stellar’s primary focus is to increase financial inclusion through its system which is easy to use and access, after all.
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