Stellar Lumens ($XLM) is a free, open-source network that allows removes the barrier to build financial products e.g cross-border remittance/payment systems. Stellar can be seen as a blockchain project that is removing the ambiguity and grey area around blockchains and their implementation.

Stellar recognises that the global financial system and infrastructure consists of closed loops. The lack of transparency and collaboration of individual systems creates huge inefficiency and high costs. Money moves very slow between borders and in a digital, fast-paced age which we live in – this is obsolete.

Enter Stellar Lumens – a potential answer these problems above plus many more including an ‘Initial Coin Offering’ (ICO) platform and ‘Decentralised Exchange’ or (DEX). Stellar identifies the following major areas which must be served including – fast transaction times, decentralised control, trust and security.

Stellar is already rubbing shoulders with technology giants such as IBM – lets learn more.


TITLE/TICKER : Stellar Lumens / $XLM


PLATFORM : Stellar Lumens

CONSENSUS ALGORITHM : Federated Byzantine Agreement (FBA)

FOUNDERS/CEO : Jed McCaleb & Joyce Kim

PURPOSE : Enterprise level, highly scalable blockchain.

POINT OF DIFFERENCE :Open-source financial products


WEBSITE : Stellars Website

POSITION PAPER : Stellars Whitepaper




How do Stellar Lumens work? What is the Stellar Consensus Protocol (SCP)?

The way Stellar Lumens operates is fairly simple. Users are able to send, transact internationally across many fiat currencies via Stellar. Individual users on the network – they submit what Stellar calls “Anchors” which notes down and records the fiat transaction as “credit”. Anchors in real-world terms can be Banks or Payment processors which bridge the gap between cryptocurrency and traditional fiat.



These “credits” are issued to individual users as stated which then can be shown via a online wallet or account. Credits are able to be transacted between anyone on the stellar network and can be converted at the best spots rates at the time of the transaction.


The way Stellar makes this all possible is via the  ‘Stellar Consensus Protocol’ (SCP). The SCP acts in a number of different ways by reaching consensus without relying on any closed systems or networks and can halt or stop the network in the case of any bad actors or nodes- thus eliminating any threats or potential take-overs. The SCP is complex and has many layers – listen to David Mazieres about the protocol and how it works on a technical level.



What problems is Stellar looking to solve?


Stellar as stated earlier is by design created for financial products and a global, efficient payment network – lets look at how Stellar  is looking to serve this audience;


1.  Fast Transaction speeds/confirmation times ready for today’s world

2. Decentralised control

3. Decentralised trust

4. Top Security and safety for all users/components

5. Easy on-boarding and access for Banks and the ‘Unbanked’


Stellar’s potential use-cases


Stellars main use cases lie directly with financial markets and systems like cross border payments and remittances, an easy to integrate ICO platformd and DEX but lets look a little deeper into what Stellar is looking to achieve;



Stellar vs Competitors


Stellar’s closest competitor and most prominent would be Ripple who are targeting the same market and use case with X-rapid an their Ripple cryptocurrency.


Stellar Team


Stellar is led by founders Jed McCaleb and Joyce Kim, lets take a look also at their wider team & network…


See the full team here


Current Partnerships



Stellar currently has a few very notable and eye-opening partnerships – further providing validity around the project. Some of the major partners include but not limited to;


  • IBM
  • Deliotte
  • Stripe
  • Inter/Stellar
  • Wanxiang Blockchain Labs
  • Bext360
  • Factury


See Stellars full network here


Latest updates



Where can you purchase Stellar tokens?


Stellar tokens are available to purchase on Easy Crypto (NZ Customers) and Binance (top volumes to date) currently.


How to protect & store your Stellar tokens?


We recommend downloading an approved wallet from the official Stellar website once on their main-net otherwise we always recommend using a  Ledger Nano S.


Outlook for Stellar?


When I think of Enterprise level solutions for payment remittances, financial services – Stellar is one of the top picks. Stellars foundation is strong with founders who have a very strong team, vision, use-case and partners. The old saying is “its not what but who you know” and this may be all well the strategy here alongside a quality product and true vision breaking down the issues with our current centralised, outdated, dinosaur systems.

Stellar may not have the hype that other projects do but I think of Stellar is a ‘Blue-chip’ investment that will continually perform and will be a staple in the new financial economy which has only started…


Reach out if you have questions about Stellar Lumens or need help with any topic.


Disclaimer :  None of our Analysts are holding Stellar Lumens ($XLM) at the time of writing this article. All content is research, opinions and personal view points from our Analysts. This is not financial advice and should not be treated as such. If you have any queries please contact [email protected]




Stellar Whitepaper

Stellar Website

Stellar on Twitter

Stellar on YouTube


Summary & Score

Stellar Lumens ($XLM)






Working Product




Unique/Point of difference



  • Impressive Partners
  • Strong Team
  • Strong community
Hayden HW

Hayden HW

Blockchain and Cryptocurrency Education

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