Download
1 / 9
90 likes | 94 Views
Stellar is a platform created in July 2014 by the former founder of Ripple, Jed McCaleb, using the token Lumen (XLM) as its native token. Let's learn how to buy XLM in Canada. The Stellar XLM token is used as part of a protocol to pay for transaction fees and as a bridging currency for cross-border payments.
E N D
Stellar is a platform created in July 2014 by the former founder of Ripple, Jed McCaleb, using the token Lumen (XLM) as its native token. Let's learn how to buy XLM in Canada.The Stellar XLM token is used as part of a protocol to pay for transaction fees and as a bridging currency for cross-border payments. It can also be used to create digital assets in the Stellar network. Additionally, XLM is used as an intermediary between any generated digital asset and any other digital asset on the Stellar network, using Stellar's built-in decentralized exchange.
The main use case for XLM is as a currency. Transaction fees on the Stellar network are currently low enough that one person can make thousands of transactions for less than a cent. With low transaction costs, Stellar aims to act as a major player in the cross-border payments and remittance space, similar to other projects in the space like XRP.Unlike the XRP token, which is the source of much of the original XLM token structure, Stellar is not a solution that optimizes the needs of the big banks, but rather the desire to facilitate the Transactions and connections are unrelated to banks and are not offered with a focus on cross-border payments and easy currency conversion.
Additionally, due to its scripting language, the Stellar network can also be used to host simple ICOs and decentralized exchanges like StellarX. Consensus mechanism?The technology behind Stellar was originally adapted from Ripple's technology. Jed McCaleb, one of the founders of Ripple, broke up with Ripple and founded Stellar in 2014. However, in 2015, Stellar implemented its own consensus protocol, called the “Inter-Byzantine Agreement” conclude". The Federal Byzantine Agreement is a consensus protocol that enables high transaction throughput by
eliminating the need for nodes to "mine" currency, which uses significant computing power and is time consuming. Instead, each node identifies a set of trusted nodes.Each node's other set of trusted nodes is recorded in what is known as a 'quorum slice', which is then used together to establish a 'quorum'. A "Quorum" is a set of commonly trusted nodes, organized hierarchically based on the number of nodes that include them in their algebraic portion.Ideally, each trust group, or quorum, has transactions that overlap with other groups and so a general consensus can be reached.
The quorum intersections ensure that each quorum slice is always linked by a node whose consensus agreement is based on a large number of individuals or validators.As of Q4 2021, the XLM network currently has about 80 active public nodes, mainly located in the US and Europe, and only about 44 full validators.One drawback of Stellar's Federal Byzantine Agreement algorithmis that it does not provide a financial incentive to run a node and become a validator like with Bitcoin mining or future Ethereum staking.
Therefore, the cost of running a computer as a validator network node can prevent users of the Stellar network from running nodes.Be it XLM, Ripple, bitcoins or Ethereum, Netcoins is one of the easiest ways to understand the ultimate answer to how do I buy cryptocurrency in Canada? SOURCE CREDIT: https://netcoinscanada.blogspot.com/2022/04/mechanisms-of-stellar-lumens-how-to-buy.html
