We recently reported the launch of the world’s first feeles decentralized exchange that allows users to purchase crypto using fiat. Though there have been controversies surrounding the Stellar project, saying it’s a highly centralized platform, StellarX undoubtedly implements features that sets it apart from other projects in crypto. With that in mind, please join us for a deep dive into StellarX
Stellar and Lumens (XLM) Cryptocurrency
Stellar is a distributed blockchain ecosystem which facilitates cross-asset transfers, including payments. According to the developers, Stellar is “a platform that connects banks, payments systems, and people. Integrated to move money quickly, reliably, and at almost no cost.” Though there’s been a misconception on this, Lumens (not Stellar) represented by XLM is the native token of the Stellar blockchain platform. Stellar.org oversees the platform. Jed McCaleb and Joyce Kim founded Stellar in 2014.
StellarX works like any other decentralized platform, allowing users to trade/exchange one cryptocurrency for another. However, most decentralized exchanges will only allow you trade compatible tokens. For example, trading the Ether (ETH) for PundiX (PXS) as they are both part of the Ethereum ecosystem.
By contrast, StellarX allows users to trade cryptocurrencies on different blockchain platforms, eg. trading Lumens (XLM) for XRP.
However, one major challenge of the trading platform is that traders aren’t able to withdraw non-native tokens directly out of the exchange to other wallets, because all tokens that are non-native to the Stellar blockchain platform are tethered. Simply put, they are a Stellar representation of those tokens, ie. Stellar BTC. This token is, therefore, sent to issuers (which are indicated in front of tethered assets) platform and traded for real coins before they can be sent to traders wallet.
Why Choose StellarX
Unlike other decentralized platforms, StellarX remains one of the platforms with the highest liquidity in its category. This gives users the opportunity to trade their cryptocurrencies in seconds without accepting a crap deal or running into slippage.
Also, the platform presents users a no-fee trading opportunity. This means, users get exactly the number of coins or tokens paid for. However, funding with fiat may incur some fee by the only third-party processor available for handling fiat deposits at the moment, Anchorusd.com.
Stellar.org will in coming months continue to improve on the platform; making deposits and withdrawals of native and non-native based tokens crypto assets easy for its users.