What is Stellar Lumens?

May 9, 2019

FrederikNielsen
47

What are Stellar Lumens?

This review will be devoted to Stellar Lumens (XLM) – in this article, we will talk about what Stellar is, what features are typical for this project and its Lumens cryptocurrency (with XML designation).

Stellar (XLM) is a fully decentralized compliance platform. It is designed to support any type of currency. It has a built-in decentralized exchange, which can be used to trade any currency or assets.

Decentralization Stellar

The principle of operation of the decentralized Stellar network is the parallel operation of the peer nodes of the system in the allocation of capacity resources among all network servers that are not tied to the original source. This eliminates the dependence of the platform on any object and also eliminates the intervention of third parties in the system. Autonomous operation of each stellar node allows you to eliminate malfunctions, even if one of them fails.

Ledger

Like the traditional book, Stellar stores a list of all balances and transactions that belong to each individual account on the network. A full copy of the Stellar global journal is posted on each server running the Stellar software. Any object can run the Stellar server.

Token Disadvantages

If we talk about the shortcomings of Stellar Lumens, here we can note the need to pay a commission for carrying out operations within the system, but the cost of the transaction is more than available and amounts to 0.00001 XLM token.

Also, not all users may like the mandatory minimum balance required on an account that is 20 Lumens. However, this cannot be considered a disadvantage, since this condition frees the Stellar network from a large number of spam accounts that do not bring any benefit to the project and users. To be able to work with anchors, you will need 35 lumens in your account.

Stellar Lumens Wallet

First, you need to create a wallet for storing the Stellar Lumens coins that you are going to buy.

Now there are 10 different wallets, of which 7 are browser-based, some have a mobile version for a smartphone. You can download the Stellar Lumens wallet or click on the link to the browser version on the official website.

Conclusion

It is worth noting that this project is based precisely on the algorithm of consensus, which eliminates the delay in conducting transactions. The emphasis on this we do so that you can understand the relevance of the development of the creators of the platform.

The application of this solution also provides prospects for Stellar Lumens in the future: although the XLM tokens may not reach the front line, they have every chance to find their use as a backstage currency, that is, an intermediate crypt to provide the necessary exchange, namely to increase liquidity between various currencies.

Further other currencies will be added. The most interesting point is that both private and public blockchains will be used simultaneously, and Stellar will act as a link between different fiat currencies. This platform was supported by large companies and banks in the industry. This news caused the rapid growth of the STR (XLM) rate to the level of $ 0.12, that is, 3 times literally in one day.

Frederik Nielsen
Frederik Nielsen

I’m a freelance writer and full-time curious person. My main interests are philosophy, politics, art, culture, science, and how they’re all interlinked. When I’m not writing, I’m fronting a band, producing records, and making videos. I’m also currently working on launching a YouTube channel that will focus on culture and politics. I think blockchain technology is fascinating because of the huge potential it has to revolutionise not only the financial sector, but society as a whole.

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