A network can move digital assets other than its own currency. Stellar is one example.
Within Stellar, $XLM has specific functions: paying fees and meeting accounts’ minimum balance requirements.
The network also allows other assets to be issued and transferred. So using an asset on Stellar does not mean that asset is XLM.
For example, an application can facilitate sending a token that represents dollars, while network fees are paid in XLM. These are different functions.
There is also an important distinction: XLM does not maintain a fixed price against the dollar. Its value can rise or fall.
To research it, look into which applications use Stellar, how its native asset works, and what liquidity the market has.
You can view XLM from its label and explore this data before deciding. A low price per unit, on its own, does not show that it is undervalued.
Did you know the difference between Stellar and XLM?
#Stellar $XLM #DPANDA
Within Stellar, $XLM has specific functions: paying fees and meeting accounts’ minimum balance requirements.
The network also allows other assets to be issued and transferred. So using an asset on Stellar does not mean that asset is XLM.
For example, an application can facilitate sending a token that represents dollars, while network fees are paid in XLM. These are different functions.
There is also an important distinction: XLM does not maintain a fixed price against the dollar. Its value can rise or fall.
To research it, look into which applications use Stellar, how its native asset works, and what liquidity the market has.
You can view XLM from its label and explore this data before deciding. A low price per unit, on its own, does not show that it is undervalued.
Did you know the difference between Stellar and XLM?
#Stellar $XLM #DPANDA