Why Stellar Lumens is different and has the potential to be big?
The entire cryptocurrency market has been bearish for the past year, so should you invest in Stellar’s Lumens or XLM? Well, some experts say that it will revolutionize the way people send and receive money. Stellar’s XLM’s mission statement is “Stellar is a platform that connects banks, payment systems and people.”
Their prime goal is to use cryptocurrencies to process payments super fast while keeping the fees very low. With a 3-5 second confirmation time and support of over thousands of transactions per second, XLM is really a payment system which can’t be overlooked. If we compare the confirmation time to Bitcoin, then we see that Bitcoin takes over 10 minutes.
Moreover, Bitcoin doesn’t support as many transactions as XLM does. Stellar uses the concept of Stellar consensus protocol (SCP) unlike a majority of other cryptocurrencies which uses the concept of proof of work (POW) or proof of stake (POS). All of this might sound familiar to you because Ripple or XRP is very similar. The main reason for this is that XLM is a hard folk of Ripple (XRP) which means XLM is based on Ripple’s code.
As reported by Theoofy Stelar’s price is expected to rise. Stellar claims that its SCP is better than the concept Bitcoin uses as it is more secure, has a flexible trust and low latency which keeping the platform decentralized. Moreover, Stellar Lumens can’t be mined. So the protocol uses a different trust mechanism than Bitcoin.
Price predictions by various cryptocurrency experts
Wallet Investor: The price predictor predicts that the price of XLM in a year will be somewhere around $0.351. While the five-year prediction is that the price will be somewhere around $0.974.
Monetize.info: The platform predicts that XLM’s price will be somewhere in between $2 to $3 within this year. A majority of investors seem to think that this prediction is way too optimistic considering the price of one XLM coin at the moment is $0.23.
Stellar (XLM) Price Today – XLM / USD
The Economy Forecast Agency: The firm has forecasted that the price will be at about $0.15 within this year. This prediction though seems to be very conservative because XLM clearly has a lot of potentials and people have their hopes high for the year-end as speculations are that the price of Bitcoin will rise which will, in turn, result in a rise in the prices of most of the altcoins including Stellar (XLM).
Investing Haven: They have predicted that the price of Stellar Lumens could be at $4 within this year, provided that there aren’t any vulnerability or security issues in its code/protocol.
Oracle Times: The company predicts that XLM will be at $1 this year due to the number of banks Stellar plans to partner with. And the IBM partnership also plays a crucial role in XLM’s value.
It is essential to keep in mind that all of these are speculations and predictions. In the world of cryptocurrency, anything is possible. You should only invest money you are comfortable losing. Just like any other investment, there’s always risk associated except in the case of crypto there is too much risk associated. But the greater the risk, the greater the reward.