How to buy Stellar (XLM) - Simple Guide

How to buy Stellar (XLM)

How to buy Stellar in a few simple steps explained. As big businesses now also invest in cryptocurrencies, this is the perfect time to own your own crypto-coins like Stellar.

The easy beginners guide will safely take you through each step of buying Stellar. By following these steps, you'll have your first Stellar in no time! How awesome!

Step 1 - Create an account

Binance is one of the largest platforms in the world. A key plus is that it is incredibly simple to buy Stellar on Binance. Similar to normal currency trading, you pay a small commission on every trade, and Binance offers great rates. After purchasing Stellar, you can either keep your coins online or transfer them to a secure wallet, if available for your crypto-assets.

Below in super simple steps explained, how to create a new and safe account.
1.1 Safe account
Click on this link to go to Binance Exchange to create an account.

1.2 Strong password
Enter your email & strong password, tick off I agree to the Binance Term of Use and click register.

1.3 Verify email address
After this step is completed a verify email will be send to you.
Check your inbox and confirm your email address

1.4 Secure your account
Awesome your Binance account is created! Now follow the next steps and make sure your account is 2FA secured. This is highly recommended.

What is 2FA?
With 2FA you will generate a security code every time you login with a new session. This will help to prevent other people to get access to your account. Most used 2FA authentication options are SMS and authenticator apps like Google Authenticator.

1.5 You've an account now!
You're account is ready to use and buy Stellar (XLM)

Step 2 - How much Stellar (XLM) should I buy?

The advantageous thing about cryptocurrencies is that you can break down them and purchase just a small portion. This way, you still own a piece of Stellar, which you can either hold or store.

To increase your confidence, it’s smart to try with a small amount to learn the process of buying Stellar. Once you understand the process, you can confidently scale up your transactions and buy more Stellar. (Be mindful of the charges involved when you buy and sell cryptocurrencies)

Two SMART reasons it’s beneficial to be active on multiple exchanges

It’s wise to create multiple accounts at once. The demand for cryptocurrencies is rising quickly, and sometimes you need to trade right away. That’s why it's good to have accounts on multiple exchanges.

Another reason to have accounts on multiple exchanges is that not all platforms list the same cryptocurrency coins. When you come across a new coin that you want to buy, you don’t want to be stuck waiting for approval; instead, you want to take action before the price rises. Click here for a FULL list of popular exchanges, including our personal TOP 5.

Step 3 - Payment methods for buying Stellar

On Binance, you have access to over 100 payment options to deposit funds and buy your Stellar. Effortlessly select your currency and the payment method you’d like to use. Naturally, they also support popular payment options such as Credit Card, Bank Transfer, and PayPal.

Note: Payment options vary by country, so sign in and check the available methods for your region. In the cryptoworld and on exchanges like Binance, you can't buy every coin directly with FIAT currency. That’s why stablecoins, such as Tether (USDT), were created.

Stablecoins are cryptocurrencies you can purchase to later convert into the currency you wish to buy. Before purchasing your preferred coin, it’s recommended to check which coins are paired with the coin you want to purchase.

Step 4 - Trade or buy your first Stellar

In the world of crypto and on platforms like Binance, you can't buy every cryptocurrency directly using FIAT currency. This is why exchanges created stablecoins such as Tether (USDT).

These stablecoins are cryptocurrencies you can purchase and later swap into the currency you wish to purchase. The term "stablecoin" is derived from their linkage to the USD, as their price mirrors that of the US dollar. Before purchasing your preferred cryptocurrency, it’s recommended to check which coins are paired with the one you’re looking to buy. For instance, some coins are only paired with Bitcoin and Ethereum, while others also pair with stablecoins.

Benefits of using stablecoins
Given that some cryptocurrencies can be volatile, stablecoins are often pegged to the USD. As a result, their prices remain relatively stable, reducing the risks when trading FIAT currency into other crypto coins, and vice versa.

Step 5 - Prepare for the crypto future!

As covered earlier in this article about buying Stellar (XLM), preparing yourself by creating multiple secure accounts on exchanges is key. This ensures you're prepared for the future, especially when new cryptocurrencies aren’t listed on the platform you currently use.

Step 6 - More information about Stellar

DYOR - Do Your Own Research
When investing in Stellar always make sure you do your own research on the coin, technology of the coin and the team behind the coin. Before you're investing in a coin its important to do you your own research on the coin, technology of the coin and the team behind the coin.

DCA - Dollar Cost Averaging Strategy
Dollar Cost Averaging is a strategy that is famous in the investment- and crypto-world. It's a tactic where you buy systematic a certain amount of a certain coin / investment you believe in. For example every month $100. As you buy systematic it will reduce the emotional involvement and as you spread the money you invest you spread the risk of a changing market.

• Invest small amounts
• Less stress about fluctuating markets
• Less chance on losses as you never purchase full amounts on peaks

• Won't make optimal trades as you don't invest all on the bottom
• Takes longer, as you're not rich after one trade
• If you DCA on one investment you can pick a loser investment what will only go down. Better is there to spread your investments while doing DCA.

Explanation Video DCA Dollar Cost Averaging

Explanation Video How to Buy Stellar

Official Stellar XLM sources

• Website: https://www.stellar.org
• Whitepaper: Click here for the whitepaper of Stellar
• Stellar Announcements
• Stellar Twitter
• Stellar Reddit
• Stellar Chat
• Stellar Explorer

Benefits of cryptocurrencies

Cryptocurrencies provide a range of opportunities that have garnered interest from individuals, businesses, and governments worldwide. One significant benefit is the potential for increased financial inclusivity. Cryptocurrencies allow individuals who are without access to traditional banking services to participate in the global economy, empowering the unbanked and underbanked populations. Furthermore, cryptocurrencies provide faster and cheaper cross-border transactions compared to traditional banking systems, removing the need for intermediaries and cutting transaction fees.

Another major benefit is the safety and privacy provided by cryptocurrencies. The use of cryptographic techniques secures that transactions are secure and cannot be tampered with, while also preserving the privacy of users by providing pseudonymous transactions. Lastly, cryptocurrencies offer a decentralized and transparent financial system through the use of blockchain technology. The shared nature of blockchain maintains that no single entity has control over the network, lowering the risk of manipulation or censorship.

• Financial Inclusivity: Cryptocurrencies enable financial services for the unbanked and underbanked, promoting financial inclusion and empowerment.
• Fast and Affordable Transactions: Cryptocurrencies allow quick and low-cost cross-border transactions, reducing the reliance on traditional banking systems and intermediaries.
• Security and Privacy: Cryptocurrencies employ robust cryptographic techniques to guarantee transactions while protecting the privacy of users through pseudonymity.

• Volatility and Risk: Cryptocurrencies are characterized by their price volatility, which can result in significant fluctuations and potential financial losses for investors.
• Regulatory Challenges: The regulatory landscape for cryptocurrencies is still evolving, creating uncertainty and potential barriers to widespread adoption.
• Scalability and Energy Consumption: Some cryptocurrencies encounter scalability challenges, leading to slower transaction times and higher fees. Additionally, the energy consumption associated with certain consensus mechanisms, such as Proof-of-Work, has raised concerns about environmental impact.

It’s important to note that the pros and cons of cryptocurrencies can vary depending on the specific cryptocurrency and its implementation. Moreover, the cryptocurrency market is dynamic, and ongoing developments may influence the advantages and disadvantages associated with these digital assets.

FAQ about Stellar (XLM)

How to buy Stellar (XLM)?

You can acquire Stellar on most well-known cryptocurrency exchanges like Binance, Coinbase, or Bybit. First, you'll need to register and then select a funding option like a credit card, or crypto to purchase Stellar.

Is it safe to invest in Stellar?

Investing in Stellar carries the same risks as any crypto investment due to market fluctuations. It's important to make informed decisions and only invest capital that you can manage to lose. Choosing secure wallets and exchanges can help protect your investment.

What are the transaction fees for Stellar?

Transaction fees for Stellar vary based on the network’s demand and the specific platform you're using. Some networks have fluctuating fees based on congestion, while others have set fees. Be sure to look at the fee structure before conducting a transaction.

Can I convert Stellar to other cryptocurrencies?

Yes, you can usually convert Stellar to other digital assets using trading services or platforms that offer coin-to-coin trading pairs. Many exchanges support exchanging Stellar for other popular assets like Ethereum.

How do I track the price of Stellar?

You can track the price of Stellar using a variety of tools, including cryptocurrency price aggregators like Tradingview, CoinMarketCap, or CoinGecko. Many exchanges also provide up-to-date price updates via their trading interface.

How do I sell Stellar (XLM)?

To sell Stellar, you can choose a cryptocurrency exchange that supports it. Simply transfer your Stellar to the exchange, choose your preferred trade option (market or limit order), and select to get the funds in USD, EUR, or another digital currency.

How is Stellar different from Bitcoin?

Stellar differs from Bitcoin in several ways, including its use case, speed of transactions, and underlying technology. For example, Bitcoin is primarily seen as a digital gold, while Stellar might have additional use cases like powering smart contracts.

How can I keep my Stellar secure?

To maintain your Stellar secure, it's important to use strong passwords, activate 2FA on your exchange or wallet, and consider using a hardware wallet for long-term storage. Avoid sharing sensitive information and be cautious of phishing scams.

What is the best time to buy Stellar?

There is no definitive "best time" to buy Stellar due to the fluctuations of the cryptocurrency market. Many buyers use strategies like dollar-cost averaging (DCA) to buy at regular intervals, lessening the impact of market swings.

What affects the price of Stellar?

The price of Stellar is influenced by factors such as trading volume, overall cryptocurrency trends, updates about the coin's ecosystem, regulatory news, and broader macroeconomic factors. Price swings are normal in the cryptocurrency market.