Stellar Launches
Jed McCaleb and Joyce Kim launched Stellar as an open network for payments and financial access. The Stellar Development Foundation was formed to support its development.
ABOUT STELLAR
What Is Stellar and XLM?
Stellar is a public, open-source network designed for payments, asset issuance and access to financial services. It allows individuals, businesses and financial institutions to issue and transfer digital representations of value across borders.
Lumens, identified by the ticker XLM, are the native asset of the Stellar network. XLM is used to pay transaction fees, meet account minimum-balance requirements and support transfers between assets available on the network.
STELLAR PROFILE
Stellar at a Glance
Stellar launched in 2014 as a network for moving and issuing digital value. Its native asset, XLM, supports network fees and account requirements, while the Stellar Consensus Protocol allows participating nodes to agree on transactions without cryptocurrency mining.
STELLAR ORIGINS
THE LAUNCH
THE PROTOCOL
THE NETWORK UPGRADE
How Was Stellar Created?
Stellar was created by Jed McCaleb and Joyce Kim to support a more open and accessible financial system. The nonprofit Stellar Development Foundation was established in 2014 to support the network’s development and wider ecosystem.
The original Stellar network launched on July 31, 2014. During the following year, chief scientist David Mazières developed the Stellar Consensus Protocol, a federated Byzantine agreement system created to let independent nodes reach agreement without mining. An upgraded network using the new protocol became available in November 2015.
The Stellar Consensus Protocol Is Published
David Mazières published the Stellar Consensus Protocol, introducing the federated Byzantine agreement model that would become the foundation of Stellar’s consensus system.
The SCP Network Goes Live
Stellar released its upgraded network and Stellar Core software using the Stellar Consensus Protocol. The new codebase replaced the network’s original consensus design and became the foundation of the modern Stellar network.
UNDERSTANDING STELLAR
2015
2017
2021
2024
Stellar Evolution
Stellar has developed from a payments-focused network into broader infrastructure for issuing assets, connecting financial services and running smart contracts. Its core purpose remains the movement of value, but the ways businesses and developers can use the network have expanded considerably.
Protocol changes, stablecoin integrations and commercial partnerships mark this evolution. These developments increased the range of financial products available on Stellar without changing XLM’s role as the native asset used for fees and account requirements.
The Stellar Consensus Protocol Goes Live
Stellar launched an upgraded network using the Stellar Consensus Protocol in November 2015. The protocol allows independent nodes to reach agreement without mining or staking.
IBM Uses Stellar for Cross-Border Payments
IBM and KlickEx announced a cross-border payment solution built with Stellar. The project demonstrated how the network could connect financial institutions and support transfers between different currencies.
USDC and MoneyGram Expand Payment Access
USDC launched on Stellar in February 2021. MoneyGram later announced a partnership connecting compatible digital wallets with cash funding and withdrawal services through its retail network.
Smart Contracts Launch on Stellar
Stellar validators approved Protocol 20 on February 20, 2024, bringing Soroban smart contracts to the main network. Developers could use the added functionality to build programmable financial applications around payments and tokenized assets.
UNDERSTANDING STELLAR
How Does Stellar Work?
Stellar maintains a shared ledger containing account balances, assets, offers and confirmed transactions. A Stellar transaction can contain one or more operations, such as sending XLM, transferring another asset or interacting with a smart contract.
The account creating the transaction signs it with an authorized private key and submits it to the network. Stellar validators then use the Stellar Consensus Protocol to agree on which valid transactions should be included in the next ledger.
01
Sign the Transaction
The sender’s wallet creates the transaction and uses an authorized private key to sign it.
02
Submit to the Network
The signed transaction is submitted to a Stellar node and shared with the wider network for validation.
03
Reach Network Agreement
Validators check the transaction and use the Stellar Consensus Protocol to agree on the next valid transaction set.
04
Confirm in the Ledger
The approved transaction is recorded in a newly closed ledger. Account balances and other affected ledger entries are updated.
What Shapes the Price of XLM?
The Stellar Lumens XLM price is determined by buying and selling across the exchanges where XLM is traded. Its market value can change as demand for XLM, network activity, available supply and conditions across the wider cryptocurrency market evolve.
Stellar’s payment integrations and asset-tokenization activity can influence interest in the network, but adoption does not automatically translate into higher demand for XLM. Price movements also depend on liquidity, investor sentiment, regulatory developments and the amount of XLM entering the circulating supply.
XLM Supply and Distribution
Stellar has approximately 50 billion XLM in total supply. The amount classified as circulating can increase as the Stellar Development Foundation distributes XLM under its mandate, changing the supply available to the wider market.
Network Use and Adoption
Demand for XLM may be influenced by the use of Stellar for payments, account requirements, transaction fees and asset transfers. Growth in network activity can attract attention, although many Stellar-based transactions involve issued assets rather than XLM itself.
Market Demand and Sentiment
Buying and selling by individuals, funds and other market participants can move the price of XLM. Sentiment toward Stellar and the broader cryptocurrency market can affect how much demand reaches the asset.
Exchange Liquidity
XLM trades across multiple fiat, stablecoin and cryptocurrency pairs. Markets with lower liquidity may experience larger price movements when substantial orders are placed, while deeper markets can absorb more trading activity.
Partnerships and Ecosystem Growth
Payment integrations, stablecoin support, tokenized assets and new applications can expand Stellar’s ecosystem. The market may reassess XLM when these developments change expectations for network adoption or utility.
Regulation and Market Conditions
Cryptocurrency regulation, interest rates, the US dollar and broader risk appetite can affect demand for XLM. The price may also move alongside Bitcoin and the wider digital-asset market during periods of strong market-wide buying or selling.
What Is the Price of XLM Today?
The price of XLM today is $0.1544 USD, representing a -6.99% change over the past 24 hours.
What Is the Current XLM Price in USD?
The current XLM price in USD is $0.1544. This value is based on the latest available XLM market price and can differ slightly between exchanges because of liquidity, trading activity and order-book conditions.
What Moves the Stellar Lumens XLM Price?
The Stellar Lumens XLM price can move when market demand, available supply, exchange liquidity or wider cryptocurrency conditions change. Stellar partnerships, payment integrations, protocol upgrades and changes in the amount of circulating XLM can also influence market expectations.
No single factor explains every price movement. Several developments can affect buying and selling at the same time.
Can Stellar Lumens News Affect the XLM Price?
Stellar Lumens news may affect the price when it changes expectations for network adoption, regulation, liquidity or XLM demand. Major partnerships, protocol upgrades and new financial products can attract market attention, but the size and direction of any price reaction depend on wider trading conditions.
Can You Cash Out XLM for Real Money?
Yes. XLM can be sold for government-issued currencies such as US dollars or Canadian dollars through a cryptocurrency exchange or another supported service. The available currencies, withdrawal methods and verification requirements depend on the provider and the user’s location.
The amount received depends on the Stellar Lumens XLM price when the sale is completed. The current XLM price in USD or XLM price in CAD provides a reference value, but trading fees, spreads, conversion costs and market movement can change the final amount.
Choose a Supported Service
Select an exchange or service that supports XLM trading and withdrawals in your preferred fiat currency. Confirm that the provider operates in your jurisdiction and offers a suitable withdrawal method.
Transfer the XLM
Copy the XLM deposit address and any required memo from the receiving service. Send a small test amount first when possible, then transfer the remaining XLM after confirming that the deposit arrived correctly.
Sell XLM for Fiat Currency
Place a market or limit order to sell XLM for USD, CAD, or another supported currency. Review the quoted price, spread and trading fee before confirming the order.
Withdraw the Funds
Withdraw the proceeds through an available bank transfer, card or other supported payment method. Processing times, withdrawal limits and fees vary between providers and jurisdictions.
CASH-OUT CHECKLIST
Before You Cash Out XLM
Before selling XLM, compare the service’s availability, identity requirements, exchange rate and estimated processing time. Checking the price of XLM today and recent Stellar Lumens news can provide market context, but the final execution price is determined when the trade is completed.
Confirm the receiving address and memo before transferring XLM. Stellar transactions generally cannot be reversed after confirmation, and an incorrect or missing exchange memo may delay the deposit or require manual recovery.
Service and Verification
Provider Availability
Confirm that the service supports XLM sales and fiat withdrawals in your jurisdiction.
Identity Checks
Complete any identification, account verification and payment-method requirements before sending XLM.
Costs and Timing
Total Costs
Compare trading fees, spreads, currency-conversion costs, network fees and withdrawal charges.
Limits and Processing
Check minimum trade amounts, withdrawal limits, account restrictions and expected processing times.
Transfer and Records
Address and Memo
Verify the XLM deposit address, network and required memo before making the transfer.
Transaction Records
Keep records of the transfer, sale price, fees, exchange rate and funds received.
Tax Note: Selling or exchanging XLM may create tax-reporting obligations. The applicable treatment depends on the user’s jurisdiction and individual circumstances.