Stellar - XLM

Stellar (XLM) is an open-source blockchain platform designed to facilitate fast, low-cost cross-border transactions and enable financial inclusion. Launched in 2014 by Jed McCaleb and Joyce Kim, Stellar aims to connect financial institutions, payment systems, and people in developing economies to create a more inclusive global financial ecosystem. Unlike traditional payment networks that can be slow and expensive, Stellar enables instant, secure, and low-cost transfers between different currencies, both digital and fiat. The Stellar network uses a consensus mechanism called the Stellar Consensus Protocol (SCP), which is highly efficient and does not require mining like proof-of-work (PoW) systems. This allows for fast transaction times and lower energy consumption, making it more environmentally friendly compared to other blockchain platforms. Stellar also supports the issuance of various assets, such as tokens representing fiat currencies, commodities, and other digital assets, allowing for a diverse range of use cases in the financial sector. XLM, Stellar’s native cryptocurrency, is used for transaction fees, network security, and as a bridge currency to facilitate cross-border payments. One of the key features of Stellar is its ability to offer near-instant cross-border transactions with minimal fees, which has made it an appealing option for remittances and international payments. Stellar has also partnered with various organizations, including IBM, to bring blockchain technology to the financial industry and help drive adoption of digital currencies for real-world applications. With its focus on decentralization, scalability, and accessibility, Stellar is positioning itself as a leader in blockchain technology for cross-border payments and financial inclusion.

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