Stellar Lumen (XLM) was established back in 2014, and the currency has so far begun 2018 blisteringly. Stellar which was founded by Jed McCaleb (creator of Ripple and eDonkey) and Joyce Kim is mainly focused on connecting people, payment systems and banks.
The Stellar project is an open source protocol which allows users to run a client. This is designed so that there will be no dependency on a single server in case some of the servers fail. Even though some of the most effective markets cooled off during the holidays, XLM continued to post strong gains over the past few weeks and is now amongst the top ten cryptocurrencies by market capitalization.
Yesterday January 4th, the total market value of Stellar was $15.4 billion, while the digital currency reaches highs near $1, up from the $0.09 it was trading on December 3, 2017. The rapid rise of stellar in trading volumes have seen it overtaken other cryptos like Cardano (ADA), NEM, and IOTA.
Reasons for Stellar Lumen (XLM) rise
Stellar has showcased a promise that only Ripple can match. The crypto provides users with faster transaction times and the ability to move between fiat currencies. In addition to that, big corporations such as Deloitte and IBM have recently partnered with stellar in order to develop a cross-border payment system that is very affordable. The partnerships will most likely result in the quick development of blockchain-based banking
Ripple and Stellar have similar working models and are both gaining momentum in 2018. This is no surprise as they are founded by the same person. Jed McCaleb established Mt. Gox bitcoin exchange, sold the platform in 2011 and left Ripple five years ago, and is currently running Stellar.
Ripple and Stellar performed excellently last year, placing themselves as the second and seventh most valuable cryptocurrencies in terms of market value. The two cryptos are known for micro-transaction fees and fast-tracking cross-border payment. Ripple has been focusing on banks while Stellar is focused on becoming a gateway for remittance and the ideal choice for smaller transactions.
The recent rise of Ripple and Stellar Lumen (XLM) has led to some people proposing that a new metric to measure the crypto market be adopted, as market cap is now misleading. Decentralization and liquidate are being touted to be the measures used to give a more accurate reflection of crypto-assets and their worth