Stellar Lumens- Cross-border payment blockchain

Stellar Lumens- Cross-border payment blockchain

Stellar is a platform that connects banks, payment systems, and people reliably at no cost. Using Stellar, users can send currencies on the network to and from anywhere in the world. Stellar was born from the Ripple protocol. Jed McCaleb the founder of Stellar is a co-founder of Ripple.

How Stellar works

Stellar is a network of decentralized servers in many locations with a distributed ledger. The ledger records every transaction in the system for people and companies alike. The Stellar network can quickly exchange government-based currencies with 2 to 5-second processing times. The Stellar protocol will function like flexible Paypal.

One of the major features of the Stellar network is “Anchors” which will be acting as a bridge between different currencies. Anchors do the role of Paypal in the Stellar network.

Stellar Network overview:

Stellar is the payment network (Horizon API and Stellar core) and lumens is the cryptocurrency.

The stellar network has two major components 

 Horizon API 

 Stellar core 

Horizon API:

All interactions with the Stellar network can be done only through Horizon, a RESTful HTTP API server. Horizon is an Application Programme Interface (API) server for the Stellar ecosystem. It acts as the interface between the Stellar core and applications that wants to access the Stellar network.

An application Programme Interface (API) is a software intermediary that allows two applications to talk to each other. 

It allows developers to submit transactions, check account balances, and subscribe to events. Horizon can be used through our web browser or using cURL, or the Stellar SDK which is a Javascript library for communicating with Stellar Horizon Server.

Stellar Core:

The Stellar Core is the backbone of the Stellar network, every Horizon server connects. It does the work of validating and reaching a consensus on transactions. 

Stellar Consensus Protocol (SCP): SCP is the evolution of FBA. Federated Byzantine Agreement is a traditional process of reaching consensus. It is a model for consensus using nodes, quorum slices, and quorum.

Quorum: the set of nodes required to reach an agreement across the whole system

Quorum Slice: the subset of a quorum that can convince one particular node of agreement.

A Byzantine Agreement is reached when a certain number of nodes known as a quorum agrees that the solution presented is correct, thereby validating a block. Ripple was the first to use FBA and Stellar refined this approach even further using safe FBA protocol.

Stellar Consensus Protocol Key Features

• Decentralized - Access to anyone 
   
• Low Latency- 3 to 5 seconds
   
• Flexible Trust - Organization 
   
• Asymptotic Security - Digital Signatures 

The stellar network is a worldwide collection of Stellar cores which agree on sets of transactions. Each transaction costs a small fee of 100 troops (0.00001 XLM).

News Update: 

Stellar has introduced a new tool Stellar Asset Sandbox. It is simple to use interface, you can mint, and burn new assets on the Stellar testnet, with no code. It enables any real-time transaction to happen within 5 seconds. Stellar has upgraded the new smart contract platform Sorban to increase platform friendliness, scalability, and sensibility. On Feb 8th the Stellar Development Foundation (SDF) announced a $10 million awards program through Stellar Community Fund (SCF). It has also announced rewards range from $10K-50K worth of XLM depending on the size of the project built on the Sorban platform. 

Submissions date -Feb 13th, 2023 

First Deadline- Mar 12th, 2023

Since 2016 SCF has helped in launching a lot of new projects on the Stellar platform. 

Number submissions- 1300+

Number of winners- 415+

Total amount in XLM awarded -210+ million

Technical:

XLM/USD has jumped more than 40% from the low of $0.0702. The pair hits a high of $0.0979 at the time of writing and is currently trading around $0.0955.

On the higher side, near-term resistance is around $0.1020 (200-day MA) any break above will take the pair to $0.170/$0.250.

The near-term support is around $0.080 and any violation below will take the pair to next level till $0.0700/$0.0500.

It is good to buy on dips around $0.0900 with SL around $0.070 for the TP of $0.25.