Good evening all,
Welcome to Part 3 of, "Hitters and Quitters" where I hope to encourage new crypto enthusiasts to build and create a sustainable portfolio that will maintain steady growth over the years. My previous articles laid out a plain that I hope will help simplify the intricacies of attempting to build this type of portfolio. My last two currency picks, ADA and ALGO, have already shown they are potential hitters for future growth. Both have grown tremendously in the past month and it is exciting to watch them become bigger players in the market. Both ADA and ALGO are great for staking and their future potential appears bright. I am eager to see how they weather the coming end to this bull market, whenever that may be.
Today I will briefly discuss Stellar Lumens (XLM) and how I believe this currency can be another great asset to include into your portfolio.
The Stellar Lumen (XLM) was designed to encourage stability to the Stellar ledger system. To avoid garbage data from entering their chain, the XLM was designed to ensure that Stellar performs the way its creators envisioned. Stellar was created to be a fast, efficient payment system. Now, payment systems are nothing new to this world. Paypal, Cashapp, are all common names in this field. Where Stellar attempts to diverge from these common payment systems is that they convert fiat to XLM. Instead of backing XLM on fiat such as USD, Stellar basically backs its value on those who invest in buying XLM. Easily put, XLM is backed by you and those who believe in its product. Essentially, this is a more risky buy than ADA and ALGO, but I do believe the upside is there for long-term growth. I have watched the price action of XLM and the swings can be drastic. If you do buy, look for a low entry point.
Pro
- Low cost, high potential for gains
- Can be staked in Celsius Wallet (3.51%APY)
- Very cheap transaction fee's (Minimum .000001 XLM)
- XLM is capped at 50 Billion.
- Could revolutionize global transactions.
- Traded on most major exchanges
Cons
- Volatile, price swings can be drastic.
- Stellar is not the only technology attempting to capitalize on the transaction market
- Currently 20 Billion XLM on market with 30 Billion to be released.
With all investments come risk. Due to the low cost and high volatility, XLM is a medium to high risk investment. I like risk in the crypto world because I've witnessed those risks pay off in my life and others. Do your research and find the Hitter!
