Stellar (XLM), the cryptocurrency that makes the banking sector accessible to all

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One of the advantages that is most talked about when discussing cryptocurrencies is that intermediaries and commissions on operations are reduced to a minimum. The problem comes when they want to turn ‘cryptos’ into other currencies, digital or fiduciary, then commissions start to appear and there are delays.

Nobody can deny that 2017 was a year marked by cryptocurrencies. Among the vast amount of new cryptocurrencies and tokens generated for all types of projects, Stellar has towered over most and is now one of the biggest cryptocurrencies there are. This project caught the attention of many investors after its capitalization rocketed during 2017, also, it’s fintech development captivated the financial sector from the start.

Reducing poverty and helping societies without banks is Stellar’s main objective. Through their cryptocurrency called lumen (XLM) it offers the possibility to users of making transactions that allow them to change different ‘cryptos’ and turn them into dollars, and all without leaving their own platform.

Their organization’s aim isn’t to generate profit, it counts with a few known faces of the technological sector among its founders: The creator of eDonkey, Ked McCaleb; Matt Mullenweg, web developer and creator of Wordpress; and the prestigious Joyce Kim. Stellar wants to apply the power of blockchain, the technology of the chain of blocks, to help people in poverty and those who can’t access the financial system.

But, how does Stellar work? Everytime a transaction is going to be made through the network, Stellar automatically finds the best exchange rate possible. While this could be as easy as changing one currency to another, the algorithm creates a chain of conversions that go through different coins if the result is more profitable for both sides. Every transaction happens in a small rate of fractions of cents, charged in XLM.

This system has left the sector impressed and in October of 2017, IBM announced it would use the Stellar protocol to develop a transnational payment system based on blockchain for large banks.

Given its importance, it’s one of the ten main cryptocurrencies according to its capitalization, eToro has decided to include it in its cryptocurrency offers. The users of the largest trading social network in the world will be able to buy and sell the Stellar lumens with just one click inside the platform.

Also the new eToro users will have a 100,000 virtual dollar wallet with which they can test their investment strategies or clone the wallet of other community members before deciding to invest with their own money.