Description: XLM is the native cryptocurrency of the Stellar network.
Role:
Used to pay transaction fees (minimal, ~0.00001 XLM per operation).
Acts as a bridge asset in decentralized exchanges (DEX) on Stellar.
Required as a reserve for new accounts (minimum balance).
Issuer: The Stellar network itself (no central authority controls it).
Supply: Fixed and capped (total supply is ~50 billion XLM, with a portion in circulation).
2. User-Issued Tokens (Custom Assets)
Description: These are tokens created by users, businesses, or organizations on Stellar.
Types:
Fiat-Pegged Tokens: Stablecoins like USDC, EURT, or other fiat-backed assets.
Utility Tokens: Used in specific applications (e.g., loyalty points, in-app currencies).
Security Tokens: Represent real-world assets (stocks, bonds, etc.) in a compliant manner.
Key Features:
Trustlines Required: Users must “trust” the issuer to hold the asset (except for XLM).
Flexible Issuance: The issuer controls supply (can mint, burn, or freeze tokens).
Decentralized Exchange (DEX) Support: Tradable on Stellar’s built-in DEX.
Additional Notes
Stellar’s Asset Model: Unlike Ethereum (ERC-20, ERC-721), Stellar does not have multiple token standards—all custom assets follow the same basic structure.
Anchors: Many Stellar tokens are issued by “anchors” (regulated entities that facilitate fiat-to-crypto conversions).
By admin