Jed McCaleb, co-founder of Ripple and creator of Stellar, recently shared his perspective on why Stellar (XLM) is undervalued in today’s cryptocurrency market.
In his analysis, McCaleb emphasized the platform’s practical utility, technical innovations, and mission-driven approach, which he believes set it apart from other blockchain projects.
High Transaction Volumes and Real-world Applications
Stellar consistently handles more daily transactions than most blockchain networks, with volumes reportedly ten times higher than Ethereum. According to McCaleb, this performance is due to the token’s active use in real-world transactions, unlike many other projects that struggle to achieve widespread adoption.
McCaleb highlighted Stellar’s streamlined design, which integrates essential features directly into the platform. These include stablecoin issuance, token creation, and a decentralized exchange. This functionality simplifies the process for businesses and developers, making the asset an adaptable and efficient blockchain solution.
Secure Smart Contracts with Soroban
Another standout feature is its smart contract platform, Soroban. Designed for efficiency and security, Soroban addresses common vulnerabilities like reentrancy issues, ensuring safer smart contract implementation. This feature reflects the company’s commitment to delivering reliable tools for developers.
McCaleb pointed to Stellar’s minimal transaction fees as a major advantage. Its cost-effective infrastructure allows users to execute transactions at negligible rates, making it a competitive option for personal and business financial activities.
According to McCaleb, the asset’s technical foundation is built on world-class engineering principles. Additionally, its detailed and easy-to-follow documentation has been recognized as one of the best in the blockchain industry. These resources empower developers to build applications efficiently, fostering growth and innovation within the ecosystem.
We are on twitter, follow us to connect with us :- @TimesTabloid1
— TimesTabloid (@TimesTabloid1) July 15, 2023
One of the company’s core missions is to enhance financial access for underserved populations. McCaleb emphasized that the platform is designed to facilitate affordable asset transfers and provide financial services to those in regions with limited banking infrastructure. This focus on inclusivity distinguishes it from competitors.
Stellar’s native token, XLM, has shown remarkable performance in recent weeks, with its price surging by 478% in November alone. This growth pushed XLM to $0.65, a level not seen since May 2021. The significant price increase demonstrates strong market interest in the token.
Ripple Effect of Regulatory Changes
The resignation of SEC Chair Gary Gensler has created renewed interest in cryptocurrencies associated with McCaleb. Regulatory challenges tied to XRP, stemming from the SEC v. Ripple case , had previously suppressed its price. Following Gensler’s resignation, XRP experienced a 130% rise in value this year. XLM, often seen as a rival to XRP, has outperformed it.
McCaleb believes the asset is uniquely positioned to address critical challenges in digital payments. Its ability to offer cost-effective and scalable solutions to individuals and businesses demonstrates its long-term potential.
With a focus on real-world utility and financial accessibility, the token is poised to maintain its relevance in the evolving cryptocurrency landscape.
Follow us on Twitter , Facebook , Telegram , and Google News
