Stellar is a decentralized blockchain project with a focus on making global money transfers cheaper, quicker, and reliable. The Stellar team seeks to link banks, payment systems, and individuals. Stellar believes that for growth, the global financial system should be accessible and open to everyone. Stellar is an open-source payment technology that shares several similarities with Ripple. Initially, both systems used the same protocol to power their operations.
Stellar’s native token is Lumens (XLM). By press time, the asset was trading at $0.070072 with a market capitalization of $1,375,940,205. This capitalization puts XLM in the 11th position among cryptocurrencies. Based on Stellar’s proposition to the global financial market, XLM is a cryptocurrency worth investing in because it has the potential of mass adoption. If you would like to own the asset, here is how to buy Stellar Lumens.
Before Buying Stellar Lumens
Just like any other cryptocurrencies, there are several factors to consider before investing in XLM tokens. You need to research on factors like market capitalization and price movements. Follow XLM news to determine if the asset is worth investing in because cryptocurrencies are highly volatile. Additionally, look out for scams. Only transact with legit platforms to avoid losing your money. As a new investor, you need to start small and build on it later. Lastly, you need to have a secure wallet to store your Stellar Lumens assets. Check the best XLM wallets in 2019 here.
Buying XLM via Coinbase
Coinbase is an American based cryptocurrency exchange with a reputation for adhering to the laid down-regulations. The exchange is available on multiple platforms- web, android, and iOS. The exchange supports multiple cryptocurrencies like Bitcoin, Litecoin, Ethereum, and XLM. Coinbase allows you to buy Stellar Lumens through their brokerage service or their trading platform (Coinbase Pro). To buy Stellar, you will need to create an account first. Visit the Coinbase website and click ‘Get Started’. You will need to give your name, email and select a strong password. Additionally, remember to verify your identification.
In the next stage, deposit the funds. Once verified you’ll now be able to deposit USD, EUR or GBP to your account by simply navigating over to the accounts tab, which will open your Coinbase wallet. Scroll down and select the currency you’re looking to deposit and click the deposit button. Note that you can also purchase XLM directly with a debit or credit card by adding this to your account via the payments method page.
Once your funds have reflected in your account you can buy Stellar Lumens instantly by heading over the “Dashboard” tab, before clicking the “Discover more assets” button to find Stellar Lumens (XLM). The next page you will find Stellar and click ‘Trade’ button to bring up the full trading panel for XLM. Enter the amount of fiat you would like to spend on buying XLM. Select the wallet to deduct the selected amount from and click the “Buy Stellar Lumens” button. This will automatically purchase XLM at the market rate and deposit it into your Coinbase wallet. When you use the instant purchase for XLM you will have a lower maximum purchase limit with this option.
Binance is another ideal platform to purchase XLM assets based on its low trading fees of 0.1%. Users on Binance can invest in more than 150 cryptocurrencies listed on the exchange. The exchange supports assets like Bitcoin, Ethereum, Bitcoin Cash and Stellar. Before purchasing XLM on Binance, you need to create an account first by clicking on the ‘Register’ button. Provide your e-mail address, and choose the password you will use to log in to your account. As an additional security measure, Binance allows users to enable the two-factor authentication feature. You will not need to complete ID verification on Binance unless you intend to withdraw more than 2 BTC worth of XLM in a single day. For normal accounts, Binance offers a 1 BTC daily withdrawal limit.
Once your account is active, you will have to deposit Bitcoin or Ethereum to your Binance wallet. There are two ways of going about this, you can deposit from a cryptocurrency wallet or deposit via credit card and buy Bitcoin and Ethereum on Binance. Read our guide on how to deposit funds on Binance using a credit card. Once you have BTC/ETH and are ready to send to Binance, go to the top navigation bar, select “Funds” and “Deposits”. Select from the dropdown menu whether you want to deposit BTC or ETH. This will give you an address to send your coins to. Make sure you only send the selected currency to that address.
With your assets in the Binance wallet, you need to create a buy order on Binance. You will first head over the exchange platform and click on the basic option if you’re new to cryptocurrency trading. In the next stage, select the base currency you wish to trade against XLM and then find the XLM trade pair. Click on the XLM trading pair, and then navigate to the buy box. If you’re new to trading, click the “Market” tab to place an order at the current market rate. Buy Stellar Lumens is by using the “Limit” tab to place a limit order. This will allow you to specify the price you want to pay for XLM, as well as select the quantity you want to purchase at that price. Once the market reaches your desired price your order will be automatically filled.
Buy XLM on Kraken
Kraken is a popular exchange platform used by experienced cryptocurrency traders. The platform supports multiple cryptocurrencies with 50 trading pairs. This is another platform to buy Stellar. To get started, create an account with Kraken. You will need to provide your e-mail address and select a username and password when creating an account. On Kraken, you can buy XLM using fiats such as USD, EUR or GBP. However, you need to complete at least tier 2 verification. If you opt for USD deposit, you need the 3 tier verification, where you will be asked to provide proof of your identity, using your government-issued ID document, in addition to proof of residence.
With your account up and running, you need to deposit funds. Navigate to the “Deposit” button, which will take you to your deposits dashboard. The fiat currencies you can deposit will be shown on the left and select your preferred fiat currency. Follow the instructions provided to send your funds to Kraken’s account. With your funds in your account, navigate to the Stellar trading options by selecting your desired trade pair using the options shown below. If you are exchanging EUR, then you’ll need to select XLM/EUR, whereas for USD you’ll select XLM/USD.
The next phase, select the order by selecting the new order button. Once selected you will be able to enter the number of Stellar (XLM) you wish to purchase. If you select market order, you’ll be able to purchase XLM at the going market rate. Whereas, if you place a limit order, you can set the maximum you are willing to pay per XLM. Confirm your order and XLM will be in your account.
There are other ways to buy XLM. Apart from the highlighted exchanges, platforms like CEX, eToro, and Bittrex will enable you get XLM tokens. However, it important to do your research and ensure the exchange has a good reputation and is available in your area of jurisdiction.
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