With the cryptocurrency market seeing a lot of growth in late 2020, more and more people are looking to invest in the industry. There are many cryptocurrencies to invest in, and one that is becoming more popular is Stellar. It is an open network that wants to make it easier and more efficient to store and send all different types of currency. Of course, Stellar also has its own tokens that are called lumens.
One of the first steps to investing is to find a quality stellar lumens exchange. However, before you make any investment, it is a good idea to do a little research on Stellar and whether or not it is a solid investment this year. This article is going to take a closer look at Stellar, it’s current performance, and whether or not now is the time to invest.
Table of Contents
What is Stellar?
As we briefly mentioned, Stellar is a network that aims to help people store and send their money. It is borderless and allows people to send, receive, and exchange all different kinds of currency, without the long waits or incredibly high fees of traditional options. It is designed to be a cohesive platform, and one that can be used by anyone, no matter where you are.
In order to hold an account, Stellar requires that you own a small amount of their built-in token, lumens. These lumens are also required, in a very small amount, to make transfers. The reason for these lumens was to build a small barrier to help Stellar avoid being filled up with spam. They also help make it less expensive to trade different assets internationally.
The Current Performance of Stellar
Now that you know a little about Stellar (also known as XLM), let’s take a closer look at how it is performing. As of the writing of this article, XLM is priced at around $184 and has a market cap of almost $ 4 billion. Both of these numbers are around the highest Stellar has seen since 2018.
These numbers are also a little more than double what they were only a month ago. Stellar is currently knocking on the door of being a top 10 cryptocurrency in terms of total market capitalization, as well. All of this is exciting for investors, as the asset seems to be growing more popular and rising in value as a result.
Is 2020/2021 the Time to Invest in Stellar?
So is it the right time to invest in Stellar? While expert opinions differ, many experts see a lot of potential for Stellar in the coming months and years. Many don’t believe it will skyrocket, instead, they think it will act as a solid investment that will consistently increase in value over time as more people become familiar with the simple and clear benefits that Stellar can provide, and as new use cases are discovered.
It is a useful and interesting idea that can help speed up international payments, simplify them, and make them more affordable. A few key partnerships in the financial or technology space could do wonders for the success (and price) of this crypto asset.
Of course, it is important to perform your own research and ultimately make the choice for yourself. Also, it is crucial to only invest what you can afford to lose, as cryptocurrency assets can be notoriously volatile.
In conclusion, we hope that this article has been able to help you understand a little more about Stellar and whether or not this year is a good time to invest in it.
Read Also : The Future Of Crypto – What Does It Hold For Us?