Home Altcoins News More High-Speed Cross-Chain Cross-Exchange USDC Is Happening

More High-Speed Cross-Chain Cross-Exchange USDC Is Happening

More High-Speed Cross-Chain Cross-Exchange USDC Is Happening

Okcoin is the first US exchange to integrate USDC with Stellar Capabilities, facilitating a notable on-ramp for retail and institutional customers.

Community Reaction:  Which other exchanges uses Stellar USDC Blockchain? Is there somewhere I can see find this? Its brand new. Of course, you’re not going to find it anywhere yet.

Otherwise for those who want to know about the intrinsic value of XLM:

OrbitLens expressed:  “What’s the intrinsic value of $XLM? And what drives the price?” One of the most common questions from newcomers to Stellar ecosystem.

A short answer – $XLM price reflects the locked value. There are other factors, but this one is the most important.

And here is why:  Stellar Network relies on the account reserve requirements to prevent ledger spam. Every account must contain at least 1XLM to exist on the network. Currently there are about 5 million accounts which effectively means that 5 million XLM are locked on the ledger.

But reserve requirements are not only for accounts. Each trustline (a connection allows an account to hold some custom token) also requires a base reserve – 0.5XLM. So if an account holds, say, some USDC, EURT, and ABTC tokens, additional 1.5XLM are frozen on the balance.

Going further, to trade those tokens on Stellar DEX, you’ll need 0.5XLM per active order. Therefore, when a trader decides to set 5 bids on DEX, another 2.5XLM automatically get locked in addition to the order amount.

It’s worth saying that XLM serves as a medium of exchange. Consequently, a significant amount is being held on orders. Market makers have to replenish inventories periodically to maintain pegged asset prices, driving a demand for XLM.

Speaking of DEX, new Uniswap-like liquidity pools implemented directly on the protocol level will change the supply/demand balance for XLM and other Stellar assets as soon as this update hits the mainnet. Yield farming proved to be a game changer for blockchain tokenomics.

And finally, adding an additional account signer also pegs 0.5XLM on the account balance. Maybe this doesn’t sound very impressive, but you need to know that multi-signature is a fundamental part of Stellar smart contracts.

Using multisig schemes in combination with time-bound transactions allows implementing intricate logic flows. Stellar TSS initiative advances this concept even further – derivatives, options, insurance, lending, and much more. Smart contracts = frozen XLM.

There’s no stacking on Stellar, so there’s no buying pressure from stacking node operators while most POS blockchains have >50% of total supply stacked. On the other hand, there are no miner rewards, so XLM supply is deflationary right now.

Summing it up, locked liquidity will drive $XLM price over the next decade. Liquidity pools, TSS smart contract servers, layer2 solutions, inter-blockchain bridges, and other technologies coming this year will terraform the landscape of #Stellar ecosystem.

 

 

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Julie Binoche

Julie is a renowned crypto journalist with a passion for uncovering the latest trends in blockchain and cryptocurrency. With over a decade of experience, she has become a trusted voice in the industry, providing insightful analysis and in-depth reporting on groundbreaking developments. Julie's work has been featured in leading publications, solidifying her reputation as a leading expert in the field.

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