Stellar Price Prediction for 2019 & 2020
What is Stellar Lumens?
Stellar is a payment distribution network that allows digital asset transfers. It is an open source system and non-profit organization which is run by Stellar Development Organization. Its aim is to connect banks, payment system and different people around the world allowing everyone to transfer money from border to border very quickly. Lumens which are also known as XLM, are the native asset of the stellar network which has become the world’s top 10 cryptocurrencies in 2018 by market cap.
To understand Stellar Lumen, you should know about it from basics. We are not going to go too in-depth with the history and mechanics of the stellar lumen (XLM).
Stellar is a platform that connects bank, payment system and people and moves money across borders reliably and quickly. It’s a distributed hybrid blockchain platform. Stellar works with banks and financial institutes rather than developing markets. Simply it enables you to send money anywhere in the world. we all know that investing in cryptocurrencies is the high reward and high-risk process.so while buying cryptocurrencies everyone is conscious about their price prediction. In this article, we are going to tell you about stellar lumens price prediction. But before stellar lumens analysis, you should know about stellar lumens first.
The Stellar lumen (XLM) network is an open source financial services and payments set up. One of its several use cases is cross-border money transfers.
What are the Stellar Lumen Pros and Cons?
A common question of the current generation, and specifically the generation who are concerned to earn through digital mediums in the modern world. In the interests of clarity to this subject, I should announce that I do currently own some Stellar Lumens but this has nothing to do with the affected my approach to the writing of this article.
Nevertheless of whether you are a relative a newbie to cryptocurrencies, then probably are you have heard of Stellar Lumens. Though, do you know what this project is about? I will give you a brief history lesson, explain about the project, and cover some pros and cons, all of this without FUD!
Pros – How Could increase Stellar Growth?
XLM does not make use of Proof of Work or Proof of Stake because all tokens were made at its beginning. Consequently, the rewards for keeping the network come from inflation.
The Stellar Network has a built-in, static, nominal inflation mechanism. New lumens are further added to the network at the rate of 1% each year. Every week, the protocol distributes these lumens to any account that gets over .05% of the “votes” from other accounts in the network.
This inflation mechanism is worthy because it is predictable and steady. You would expect that when the circulating supply of XLM increases, the characteristic value of each coin should decrease (more supply introduced, demand remains the same). Nevertheless, since the coins are released at consistent intervals and in comparatively small amounts (i.e 1% per year), the inflation should not cause much negative price movement and could even increase liquidity.
There are many centralized structures favoured by biggest competitors, Ripple stellar introduce an open ledger which allows sticking on the central principle of cryptocurrency.
Use of Real World
With the aim of providing payment facilities to the third world and to the people who are in poor conditions, Stellar has a tremendously large market which can be used for. Like it is estimated that remittances to developing countries were expected to reach $450 billion in 2017.
Fast & Cheap
The transaction confirmation goes with the speed of 5 seconds on average, which makes XLM is one of the top nominees for speed, often associated with other projects such as Ripple, Nano, and EOS. This fast transaction speed also comes with low fees also, requiring only 0.00001 XLM for the processing of transactions. This amount of XLM is further added to a Fee Pool which is circulated weekly as part of the inflation pay-outs.
Stellar is basically a Stellar development organization which is actually non-profitable. Its aim is to provide global financial access, literacy, and inclusion. This organization is promoting the more adaptation of Stellar as a worldwide payment standard. It distributes lumens to expand its network system.
Native Exchange & Multi-currency Transactions
A thing about the Stellar network that is often forgotten is its distinctive ability to execute multi-currency exchanges and the ability to store orders and act as a distributed exchange. The network stores orders and eventually becomes its own order book, similar buyers with sellers. In addition to these, the XLM network is able to counterpart multiple trading pairs.
For instance, Amy wants to send Bob euros, using her USD balance transaction. Stellar submits an offer to the distributed exchange selling USD for EUR automatically.to do this, the network finds the best exchange rate for the transaction.
There are other projects that exist that have their own in-built exchanges, for example, NXT and WAVES, but I do not be certain of they are able to perform multi-currency transactions in the same manner.
The stellar has very secure and reliable partnership strategies with big players in the world.
For example, IBM is using the stellar payment system to exchange money with cross borders money exchange and larger banks. Other partners include finance and technology consulting firm.
You cannot discuss Stellar partnerships without first saying about IBM. Their partnership was declared back in October 2017 and stimulated a price jump of over 100% in 24hrs. But later then, Stellar has daily added to their list of partnerships, including Stripe, IBM, ICICI Bank, Deloitte, TransferTo, Tempo and many others. This means that approval of XLM as bridge-currency is well underway to progress. While not yet overwhelming XRP, it is hardening its position as a serious contestant.
Cons – Factors that can effect Stellar Growth?
In the beginning, XLM wanted to be regionalized, open source, and clear as crystal. Not much has changed, except the level of transparency that the Stellar foundation has faith in to be in its best interests.
Now, this may not seem like much to be concerned about, but I cannot help wondering myself that why these financial elements were removed? Why is this level of transparency and trust from the community no longer required? From an organization that holds the majority of the total XLM supply, as an investor, I would want more transparency not less. I would want financial reports of how the company I am invested in is doing – maybe we do not need to know how earns what, but who has how many lumens within its company should be revealed
SDF Holds Majority of the Supply
Today, there are 104.22B XLM and only 18.77B are NOT held by the SDF, which means that the SDF currently have just under 82% of the total supply.
50B of this is held for later distribution via the direct sign-up program, which should be continuing over the next few years. This distribution involves a lot of trust in order to take place, as many investors may be uninformed about this program. As a matter of fact, many were uninformed of the Bitcoin and Ripple program that was owed 20B but only used a total of 2B, with the remaining 18B going back into the foundation’s pockets. And then there is the 2B that was paid to Stripe in return for a $3M loan. Nevertheless, this amount was not part of the 18B held by the SDF. All of this results in a huge dominion over the supply of XLM, a central infrastructure, and a lot of trust in what should be a trust-less network.
This is not at all an issue exclusive to XLM – there are a whole host of projects on the market with this same centralized element.
Voluntary Agreement Preventing Sale
In order to deliver market stability to lumens, SDF founders and Stripe have voluntarily agreed not to sell any of the lumens originally received (either via employee grants in the case of the founders or via repayment of the Stripe loan) for at least five years. Yet, Stripe may auction any of their lumens, provided the recipients also agree not to sell their lumens for five years, and net profits will be returned to the Foundation.
There are two issues that stand up from the statement above. Firstly is the voluntary element of this agreement. While this agreement has been entered, there is nothing stopping participants from withdrawing from a voluntary agreement and sending their XLM into the market. Secondly, this agreement was entered 4 years ago this means that within the next 12 months, we could see these Lumens overflowing the market. These results could drop the price of XLM.
Why Stellar Lumens?
There are some reasons for preferring stellar lumens
Low Price per Coin:
Bitcoin, Ethereum and Litecoin have very high prices. While stellar lumen price is below a half dollar. Which is very affordable. Stellar lumen potential for adoption is high. XLM gives the majority of Coin base investors the opportunity to buy into a high max supply, low priced coin.
High supply of circulating XLM will keep the price of coin low. It appeals the investors to own a large number of coins.
It makes transactions easy. Because instead of using the entire network like bitcoin it uses quorum which is the part of the whole pool. Which makes transactions so fast.
Stellar Lumen Price Today
Stellar Lumen Forecast 2019
Being crypto-investors we must have sufficient knowledge before money transaction so it is necessary to forecast the future and to decide where should we invest or not. Following are some of the possibilities of stellar price prediction.
- In the early days due to bad conditions of the market, it is assumed that people faced more downfall but by the launching of stellar, people got the thing for which they were searching. As the stellar raised coins rank, people will more focus on it and raise their currency up to $184 billion dollars according to general estimation.
- The stellar price prediction is going to be accepted by many countries in the future by which world will increase the transaction of cryptocurrencies. Hence, the coin will increase up to 1.5 with the circulation of stellar token 18.39 billion tokens which increase market cap up to $ 27.29 billion.
- The amount of coin might be reached up to $11 so those persons who wanted to earn more should feel free to invest in Stellar coins.
Stellar Lumens Price Prediction 2020:
Here are some expert opinions about stellar lumen price predictions but these are just predictions, not realities. So we recommend don’t to take them very seriously. Investing in cryptocurrency is very risky matter. Because their prices can go up and down in no time. Stellar lumens long-term price prediction is 0.2000$ may be. Stellar XLM price prediction varies. Here is the answer to question that how high can stellar lumens go in 2020 according to expert’s opinion.
JIO Phone analysis:
The Economy Forecast Agency website analysis:
Google Stellar Lumens analysis:
Stellar Lumens Ledger Nano S App
It’s an app to store stellar lumens securely. If you don’t have it already set up Ledger Nano S stellar lumen. Here is a guide to install it.
- Open ledger manager app.
- On application scroll down to the stellar app and click the associated arrow to add stellar ledger app to your account.
- Visit the stellar account viewer which is a tool to connect with the stellar network.
- Unlock your Ledger Nano S and open the Stellar Ledger app on the device.
- Click the green “Sign in with Ledger” button on the Stellar Account Viewer.
- You can now see your balance and public key and can send lumens to other addresses from this webpage.
- You can also Use this stellar account viewer to receive and send lumens.
Should I buy Stellar Lumens?
Based on the current price you should rush to invest in stellar lumens. This coin is very promising as compare to Altcoins. The team behind stellar is working hard to give a better supply with wallet compatibility and to increase its usage in the broader range of platforms. .those who want an instant return on their investment should go for alternatives. The stellar rise in price is not so clear in near future. And there are some technical issues which lead competitors to overcome.so keep yourself up to date of stellar coin news. Stellar coin news will help you a lot in taking the best decision. No one knows anything exact about stellar lumens future.
With the continuous stream of good news and partnerships being released by the SDF, it is hard to have your things to see set on anything but the moon if you an XLM holder. As for me, I do not see XLM becoming a ‘gold standard’ for cross-border payments inside the financial sector, nonetheless of the potential and tech. This is due to, probably XRP will remain at the lead for some time, simply due to its institutional focus, which is something XLM purposefully avoids, I suppose.
This is also not at all the only or best company in this sector of the crypto market. If you are looking to invest, you should take the time to research other projects that are similar, some of which have been mentioned before.
This project does pretty much check all the boxes, I would look for as an investor: strong development team, history of achieving milestones, obsessive community following, real-world use case, appropriate partnerships, and a working product. It does also come with some downsides: semi-central supply, tons of competition, and potential for management. So as always, it is significant to do you do your own research and make educated decisions and never invest more than you can afford to lose.