The lumen, often abbreviated XLM, is the protocol token of the Stellar network. One hundred billion lumens were created the instant Stellar went live, as part of the protocol’s design. These tokens play a unique role in the network’s operation.
Anyone that wants to hold or move money on Stellar must also hold lumens. Per the protocol, every account must set aside a small increment of lumens for each type of asset it holds. Similarly, an account must reserve lumens for each open offer against its assets. The total holdback for a typical account is low—a few XLM.
Stellar also imposes a very small fee for each transaction, and that fee can only be paid in lumens. The median fee on the network right now is 0.00001 XLM—about a millionth of a US dollar.
Lumen reserve requirements and transaction fees are there to minimize ledger spam.
A number of third parties have developed wallets — apps that help you interact with the Stellar network.
This wallet type stores private keys on a device not connected to the Internet.
The Ledger Nano S stores your private key offline and connects with many web and desktop apps.
The Trezor hardware wallet is a hardware wallet alternative to the Ledger Nano S.
This wallet type stores your private key on an app on your
mobile or desktop device.
Keybase is an encrypted communication app with a built-in Stellar wallet available on most mobile and desktop devices.
Solar Wallet is an easy to-use wallet with multi-signature transactions. Available on most mobile and desktop devices.
Lobstr is a custodial wallet with 2FA key recovery.
Coinbase is an exchange with a website and mobile app.
This exchange also provides a way to earn lumens by learning about Stellar.
Binance is an international exchage with a web interface, desktop app, and Android app.
User interfaces for the Stellar decentralized exchange that have enabled USD deposits.
StellarX is a UI for the Stellar decentralized exchange.
To encourage the network’s growth, SDF distributes lumens to teams building on Stellar.
Grant programs support both large and emerging projects.
The Foundation also supports research on Stellar’s core technology.
SDF makes grants to organizations building high-quality services on Stellar and supports independent developers creating core infrastructure for the network.
These grant programs are by invitation only.
Unsolicited applications for grants will not be considered.
SDF partners with leading companies to distribute lumens to individuals via airdrops. These programs increase network access and educate the world about Stellar. Key partners include Coinbase and Blockchain.com.
Every quarter, the Stellar community allocates lumens from the Stellar Community Fund to app, games, companies, and even art based on or build on Stellar.
Are you looking to add Stellar Lumens to your cryptocurrency portfolio? Well, look no further, as today I am going to tell you everything you need to know on how to buy Stellar Lumens!
By the way, did you know that the creator of Stellar Lumens also created eDonkey, which was one of the original peer-to-peer file sharing platforms!? Cool, huh!
Anyway… Firstly, I am going to give you some background information on how Stellar Lumens began and how it works.
Once we have covered that, I will then go over five different exchanges that you can buy Stellar Lumens from.
Unlike the larger cryptocurrencies by market cap, many exchanges do not allow the purchase of Lumens with U.S Dollars and other fiat currencies.
Yet, the process can be fast and easy.
Follow these steps in order to buy Stellar Lumens (XLM):
In the event of a sale of Lumens, a similar process would need to be carried out, but in reverse, unless the exchange has chosen already provides for the XLM / USD pairing.
Although Stellar Lumens is currently one of the most popular cryptocurrencies, not many exchanges allow the purchase of XLM. Here are some of the exchanges that provide the purchase of Stellar Lumens with BTC or ETH.
A cryptocurrency wallet is a virtual wallet where cryptocurrencies are stored and from where investors are able to send and receive cryptocurrencies.
Stellar’s cryptocurrency, the Stellar Lumen (XLM), powers the Stellar payment network. Stellar aims to connect banks, payment systems, and individuals quickly and reliably.
What was advertised to be a $120 million giveaway will now be much less.
We value our editorial independence, basing our comparison results, content and reviews on objective analysis without bias.
But we may receive compensation when you click links on our site.
Learn more about how we make money from our partners.
Thinking about adding Stellar Lumens to your portfolio? These days, you can buy and sell Stellar Lumens (XLM) on quite a few exchanges, so keep reading for step-by-step instructions on how to start trading this popular cryptocurrency.
This is our quick guide to just one way to buy XLM. Compare some other options in the table below.
In the US, you can’t purchase XLM with US dollars or another fiat currency.