In part 1 of What is Stellar Lumens (XLM), we explained quorum slices in the Stellar Consensus Protocol (SCP). What is Stellar Lumens (XLM) – Part 2, we will cover the federated voting process of SCP and recent developments of Stellar.
Federated Voting process
IBM World Wire platformIBM Blockchain last week unveiled the World Wire platform which will help settle cross border payments in near real-time using the Stellar protocol. Financial institutions can transact with any agreed stable coin, central bank digital currency or other digital asset as the bridge asset between any two fiat currencies. At the moment, while Stellar Lumens are used as the crypto bridge asset, IBM is also looking to test Stronghold USD, a stablecoin that is running on Stellar blockchain, as an additional bridge. Compared to Ripple’s xRapid (only uses XRP as bridge assets), the World Wire platform allows financial institution to use stable coin, central bank digital currency or other digital asset as bridge asset between any two fiat currencies.
Stellar Decentralized Exchange – StellarXLaunched in July 2018, the StellarX allows users to trade Stellar native tokens as well as crypto and fiat tethered tokens with XLM. All transactions are peer-to-peer on the platform with no middleman involved. There are no costs for transactions on StellarX, network fees will be refunded and Stellar’s automatic 1% APR inflation will also be returned to the users.
Lightning Network on StellarStellar is also developing to bring Lightning payment channels on Stellar network. This will allow instant payment, neglitable fees and private transactions. Lightning allows two parties to perform instant transactions without paying transaction fee. Transactions within the channel will not involve the Stellar network until either parties decide to close the channel and broadcast it to the Stellar Network. For details about Lightning network please refer to Cryptoclassroom #3 Lightning Network.
Written by Peter Chan Trader @Genesis Block For any queries please contact firstname.lastname@example.org Thanks for reading What is Stellar Lumens (XLM) – Part 2, don’t forget to subscribe below!