Stellar (XLM) Looking Strong
Stellar (XLM) is often touted as a top cryptocurrency, and remains in the top 5 cryptocurrency projects by market capitalization, but it often gets lost in the conversation – as the top 3 cryptocurrencies, Bitcoin, Ripple, and Ethereum, have dominated the space for some time now. However, Stellar is progressing nicely, as it recently passed up Bitcoin Cash, and currently maintains a market capitalization over $3 billion dollars, and is ranked #4 on Coinmarketcap as of press time.
Stellar certainly has more potential than ever, as a recent report from Stellar Expert, which tracks analytics regarding the Stellar network, has concluded that Stellar had an incredible 500% jump in registered accounts during the last 6 months alone.
Stellar commented on the massive growth on its own Reddit account. It stated succinctly: “2,000,000 accounts on Stellar network. It took almost four years to get from 0 to 1,000,000 accounts, and only two months to double the number. The network effect in notion!” The post has been viewed over 500,000 times in one day, as well.
The 500% increase is substantial, but actually doesn’t truly tell the whole story of how much Stellar has grown in 2018, which is even more impressive given the fact that cryptocurrency markets were extremely bearish for the majority of the year. Specifically, Stellar started out the year with a little over 162,000 active accounts, and now has reached the 2 million account milestone – meaning that it increased its accounts by over ten times over a twelve-month span. The 500,000 account milestone had been reached midyear.
The “network effect” that is referenced in the Reddit post is a common concept in technology and business circles. The phrase refers to the fact that the more users are added to a specific network, the more value the network, or platform, has. This applies to social media platforms and applications, and is commonly used to apply valuations to many of the startups that arise from Silicon Valley, for example. A common manner in which the network effect is explained is by using the example of a telephone – that is of very little value if only a select few have it, but becomes indispensable once many people utilize it as a form of communication.
Stellar has managed to score some high-profile partnerships, as well. There are some that suggest the most important partnership is the fact that Stellar has partnered with tech giant IBM to enter the global payment space, and many point out that Stellar is a viable competitor to Ripple (XRP) in this regard.