Stellar [XLM] – the SDEX could make it as big as Ethereum [ETH]

26514

And Stellar [XLM] was one of two weekly winners in a tough week for Cryptos.

Stellar was the most significant cryptocurrency alongside Ethereum [ETH] last week, development-wise. In the week that saw major coins across the top 100 stay in red, Stellar included, it was difficult to point out the best performing crypto. Nevertheless, Stellar seems to have edged the rest in the top 20 category with its performance off the trading floor.

When Vitalik Buterin announced the impending publication of “Casper” and “Plasma” and signaled that Ethereum was poised to extend its dominance over competitors, only Stellar seemed ready to continue fighting for slice of the huge market. The smart contracts and dApps platform has serious competition with coins like EOS, NEO, and NEM all stacked up against Ethereum’s unassailable lead. However, Stellar is the one that is likely to come out strongly out of the rest.

And this assumption is anchored in a document released earlier this year by Stellar.org: the 2018 Stellar Roadmap. Interestingly, the roadmap only has two goals for the year.  The first goal was to have the Stellar Decentralised Exchange launched. The other was to implement the Lightning Network to improve on scalability and speed. The second roadmap goal is going to make Stellar faster and cheaper, but it’s the SDEX that has potential to make XLM appealing to investors and partners alike. Here is a snip of the roadmap.

Well, Stellar scored on this one as the SDEX is already operational and a number of trading assets are available on the site. At the time of writing, there are 11 different pairs on the SDEX, with Smartlands/Lumens (SLT/XLM) accounting for the highest volume of 49 percent. Other pairs trading at higher volumes include MOBI/XLM at 22 percent, XRP/XLM at 8 percent and SureRemit RMT/XLM at 4.58 percent.

Part of the reason Stellar is predicted to grow even as 2018 progresses is related to what Stellar tokens get when they launch on the Stellar platform. The roadmap lists them as niceties, which could play a pivotal role in attracting several ICO companies to use the Stellar network.

Projects like Mobius show that Stellar [XLM] has the capacity to compete against the other cryptocurrencies that offer similar functionalities. And as the roadmap envisions, the success of the SDEX will be success to the Stellar ecosystem.

Nevertheless, the SDEX isn’t the only thing that makes Stellar an attractive cryptocurrency in 2018. The cryptocurrency landscape is quickly establishing itself as a platform for everyday use. And it’s those projects that demonstrate real-world use that are likely to be successful. In this regard Stellar is going to be up there with the best of the rest.

So, last week’s announcement that Stellar would be funding the development of OKCupid’s Keybase project concluded an exciting week for the Stellar Community. What does this mean for Stellar?

Partnering Keybase could prove Pivotal in Stellar Integration




When a new partner joins your team, the general expectation is that they will help make you better than you were before. That usually seems to work; at least in terms of business partnerships that are driven by the need to go a step higher on the performance scale.

And that is why teaming up between StellarLumens and Keybase.io is a very promising proposition. It’s not as lucrative as, let’s say, having IBM (who Stellar are partnering too). But what this deal means for Stellar is that it provides an avenue for it to penetrate another market using the Keybase customer base. In fact, according to reports published on Coindesk, Keybase customers will in the future be allowed to hold Lumens.

On why they are excited to have Stellar, the Coindesk report states that…

“One feature of lumens the team likes is its ability work as IOUs for fiat, backed by institutions (such as banks) that can be transferred between users.”

And that’s not all. Lumens will allow Keybase users transfer value easily and securely. Additionally, it would all not need having to exchange the lumens when you receive them.

“Using blockchain, these fiat-backed lumens could easily cross borders, so a French user could pay in euros to a British user who would receive pounds, all for tiny fees subtracted from the transaction”.



This is why one would say that engaging with Keybase could be a pivotal move by the Stellar Foundation. Though still below $1 for now, Stellar [XLM] is one of the coins that could be profitable if the Stellar platform continued to grow. What do you think?

2 COMMENTS

  1. I believe those who invested in Lumens are going to be very disappointed. We believed this would be an excellent investment offering an excellent opportunity for increased appreciation of the asset. Apparently Lumens have been a way for the Foundation to initially fund their operation and development. The disturbing idea that Lumens are a “novelty” based on company commentary, should cause investors some deeper concern. Keep in mind that IBM has been operating money transfers among it’s 30 bank consortium and some countries for the last 6 weeks. We have not seen any appreciation in Lumens. No increase in deman or price. Why? It’s very simple, any one using the platform need only have 1 Lumen to access the system to pay fee’s for transfer which we are told are .0001 per transaction. The banks do not have to use Lumens to transfer value. They simply use the Stellar network that has the ability to transfer one currency into another as it transfers the value from country A to country B or Bank A to Bank B. This is a veru different story from what we have been expecting and is a clear presentation that Lumens will be of little value to those hoping tyo see the kinds of value appreciation we have seen from other crypto’s.

    IF Lumens increase in value it will be more along the lines of the kinds of appreciation we see in stocks, however there will be a set value probably lower than $2.00 that wont be reached for a couple years.

    Understand the points I make above are made in the consideration of B2B relationships. The Foundation has touted P2P, (person 2 person) transactions as their model. They have realized the broadest number of banks must be reached AND they have let slip out that they have been in discussions with Reserve Banks. Understanding this is critical. Stellar has recognized that Banks will not be the first movers. However those companies that move money privately will, and as it’s been proven are. I believe we will see much more movement in this area. Still they will not be using Lumens. Hmmm. So what is the plan for novel Lumens? Does Stellar Foundation envision a world where once all the banks can access their network that they may at some point consider a one world Crypto currency named Interstellar or just Lumens? Wouldn’t that be something. I SPECULATE. I doubt that even the Stellar Foundation hasn’t dreamed so large.

    Many crypto’s are trying to bridge retail through the private VISA network. In Europe they have been blocked. In the US there is a great deal of restriction which may turn into another blocking situation. LiteCoin was to launch it’s retail LitePay system on the VISA network in 46 countries and was stopped by the banking community. Here is my question >>> how does the Stellar Foundation envision the use of 100 billion (novel) Lumens and IS there any concern for price appreciation? I don’t see it. I’d also like to know, since they chose 100 Billion Lumens, why did they select that exceptionally high number of Lumens if they are simply a novelty. If Lumens are considered by them a novelty should we be inbvesting in them? Maybe it would be better to fund the growth of XRP. At least we may experience some profit for investors.

    • So your argument against XLM being used by banks is the fact that they will not be using XLM for the transactions but you shill XRP as a countermeasure? In the Stellar network, stellar lumens are essential for every transaction, it is possible to transact fiat “tokens” but lumens will always act as an anchor on the network. Every fiat “token” trasaction will cost a fee paid in stellar lumens (do your research). While Ripple offers completely separated transaction solution that do not require the use of XRP at all. Thats why xCurrent, xVia and xRapid are separated projects. Stellar Lumens are distributed via social events and as reward for software engineers making projects and improving the network, while XRP is distributed 100% commercially by Ripple labs and they cash in 100% price of every XRP ever sold (and to ever be sold). Not to mention the fat that they locked 60bln XRP tokens off public ledgers to “further fund” Ripple labs and most likely for the banks (if any banks ever decide to actually use XRP) because banks simply cannot be entering a public market to buy and sell XRP for and after every transaction. So the transactions will not be accounted in the public market exchanges volume and will have no effect on the price of XRP. So much for the “crypto for banks”. Above all of this, XRP has only one purpose – transaction. While XLM is a smart contract and dapp platform.. plus transaction network.

LEAVE A REPLY

Please enter your comment!
Please enter your name here