Working with the global theme that blockchain is king, one of the cryptocurrencies that haven’t been noticed but that is worth following is Stellar (XLM) (formerly Stellar Lumens).
Its coin, the XRP token, recently came into the crypto space and had started moving towards the top 10 in the market.
Just like Ripple, Stellar (XLM) has been focused on simplifying international money transfers, making them faster and much cheaper for financial institutions. The two cryptocurrencies can complete transactions in less than 5 seconds, with the price a fraction of what banks are currently charging.
This makes the two technologies subjects of interest for financial institutions but also for situations where international payments have to be made.
Apart from their promising technology, Ripple has recently announced a partnership with several financial institutions such as Santander, UBS, American Express and many more.
This means that the hype isn’t a coincidence, but rather driven by expectations that the currency has the potential to become the standard for interbank transactions and international payments.
The underlying technology of Ripple has lots of potentials, with investors witnessing the rise of Ripple (XRP) from $0.25 to over $2 within two and a half weeks. Its market value has surged from over $10 billion to $86 billion.
Ripple is now the second most valuable cryptocurrency, after overtaking Ethereum. The main question is now whether the currency can be able to keep up the rally over the next few weeks.
Do you think you have missed out on the climb of Ripple? Then you should turn your attention to Stellar.
The cryptocurrency has a similar objective to Ripple. While Ripple is becoming the darling of banks and financial-service companies, Stellar is focusing on servicing multinational corporations that usually conduct multi-billion dollars transactions locally.
The blockchain of Stellar reveals that cross-border payments could be made within 2-5 seconds.
In addition to that, Stellar has been able to incorporate smart contract protocols into its blockchain. Even though it is currently below what Ethereum is offering, the feature is still an attractive one for their users.
At the moment, Ripple (XRP) has more important partnerships, but Stellar has been able to achieve some partners such as IBM. Some financial institutions like Barclays and Deloitte have begun using Stellar Lumens as they aim to reduce transaction costs.
Even though XLM has been around since 2014, it is just recently coming to the limelight. If you are looking for an alternative investment to Ripple, thenStellar (XLM) is the right choice for you.