How to buy Stellar Lumens – Complete guide
Are you considering adding Stellar Lumens to your cryptocurrency portfolio? If so, you’ll want to make sure you do sufficient research on the best places to invest in Stellar Lumens (XLM) from and the various payment methods available. It’s a great time to start investing in Stellar Lumens as increasing numbers of people are attracted to its swift, affordable cross-border transactions, becoming a popular bridge between even fiat currencies that don’t have significant direct markets.
We’ve therefore taken the liberty of extensively researching, testing and reviewing the best Stellar Lumens brokers and exchanges to help you buy Stellar Lumens with ease.
Why buy Stellar Lumens now?
Stellar Lumens has quickly become one of the ten biggest cryptocurrencies on the planet. It has been on the watch-list of serious cryptocurrency investors for some time now. The price of Stellar Lumens has been steadily on the rise. At the back end of 2017, XLM was available to buy at a price of just $0.13 per coin, with a market capitalization of $2.35 billion. Fast forward to the beginning of 2018 and the value of Stellar Lumens had soared more than five-fold to $0.85 per coin, with a market capitalization of $15.2 billion underlining its clear potential.
However, as 2018 has moved on, XLM and many other leading cryptocurrencies have endured a tough time, with prices correcting and reverting since the summer especially. It appears to have found support in the cryptocurrency markets once more at around the $0.21 price point, which seems like an absolute steal when you consider the future that Stellar has in terms of its relationships with global banks and financial institutions.
IBM launched an innovative new payments system powered entirely by Stellar XLM, competing with other cross-border networks and initiatives such as Ripple’s xRapid and xCurrent. IBM’s Blockchain World Wire system is a “new financial rail that can simultaneously clear and settle cross-border payments in near real-time”.
What is the best exchange or broker to buy Stellar Lumens?
Following our own extensive research into where to buy Stellar Lumens, we’ve established the top three options based on their reputation, reliability and ease of use. Take a look at the comparison table below for a clear understanding of the pros and cons of each site:
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A comparison of the top three brokers
eToro is the world leading social trading platform that allows investors in commodities, stocks and cryptocurrencies to interact and discuss trading angles with their peers. Buying Stellar Lumens through eToro does not mean you will physically own the coins. Instead, you will place buy and sell orders known as contracts for difference (CFDs). You will profit based on whether the price rises or falls when you close your position. It is a legitimate, well-regulated trading market for major cryptocoins. Find out how to set up a eToro account here.
24option is one of the world’s top cryptocurrency CFD brokers, offering trading across a variety of digital assets. The one issue which differentiates eToro with 24option is that the former is regulated by the UK’s Financial Conduct Authority (FCA) and the Cyprus Securities and Exchange Commission (CySEC). Find out how to set up a 24option account here.
Unlike eToro and 24option, Binance is exclusively a cryptocurrency exchange and possibly the best exchange to buy Stellar Lumens at. It allows its users to buy and sell dozens of the leading cryptocurrencies and some of the burgeoning altcoins too. However, those who don’t want to have to physically own and store their Stellar Lumens will be put off by using an exchange such as Binance, even though they offer their own official crypto wallet called Trust Wallet. Find out how to set up a Binance account here.
Our expert opinion: Invest in eToro due to the following reasons
- The eToro Crypto CopyPortfolio allows newcomers to investing in Stellar Lumen a chance to follow trading strategies of highly experienced, profitable traders within the eToro community. Check out our eToro review to understand more about the eToro Crypto CopyPortfolio.
- eToro is regulated by the FCA and CySEC – the 24option review states that it is wholly unregulated, which poses a risk to anyone using it
- More than six million active members worldwide.
- No need for cryptocurrency wallets as you simply trade the price action on Stellar Lumens rather than physically store it.
Buying Stellar Lumens Coin: Payment methods
Credit card & debit card
It is not straightforward, but not impossible to buy Stellar Lumens with a credit card. There are crypto portals that permit the use of credit cards to purchase Lumens such as CEX.IO and Changelly. The latter accepts both credit and debit card deposits. eToro, our preferred option for buying Stellar Lumens, also accepted credit and debit card deposits with a maximum transaction of $20,000 per deposit.
At present, there is no direct way to buy Stellar Lumens with a PayPal account. If you are a PayPal user, there is an easy way around this. Sign up to eToro and become a member of their world-leading social trading community. They accept PayPal deposits that credit your account instantly, allowing you to start trading Lumens CFDs within minutes.
Cryptoassets are highly volatile unregulated investment products. No EU investor protection.
eToro USA LLC does not offer CFDs and makes no representation and assumes no liability as to the accuracy or completeness of the content of this publication, which has been prepared by our partner utilizing publicly available non-entity specific information about eToro. Your capital is at risk.
How to buy Stellar Lumens in your country
Buying Stellar Lumens in different countries will depend largely on the country in question. Each nation will have a different view towards cryptocurrency, with their rules and regulations likely to differ on exchanges and the digital assets themselves. It’s always advised to keep a close eye on developments when it comes to individual crypto coin regulation and currency pairings.
How to store your Stellar Lumens in a wallet
Although crypto web wallets exist to store XLM, they are not secure and are at risk of cyber-criminals. The Ledger Nano S is also the only hardware wallet that currently supports Lumens. With that in mind, the option of trading the price of XLM via a CFD broker such as eToro seems a little less hassle.
Other ways to get Stellar Lumens
Like Ripple, it is not possible to mine XLM as all of the XLM tokens have already been generated for supply. Instead, crypto investors look to faucets which offer small amounts of XLM for free, providing that you complete a specific task within the faucet website.
In summary, for a simpler, safer experience, those looking to profit from buying Stellar Lumens should use eToro as a starting point. While 24option is a popular CFD broker too, it is wholly unregulated and therefore poses unnecessary risks to beginner and experienced investors alike. Meanwhile, the Binance exchange requires all the hassle of physically owning and storing your XLM, which you can do without.
Extra Stellar Resources and News
eToro USA LLC does not offer CFDs and makes no representation and assumes no liability as to the accuracy or completeness of the content of this publication, which has been prepared by our partner utilizing publicly available non-entity specific information about eToro. eToro is a multi-asset platform which offers both investing in stocks and cryptoassets, as well as trading CFDs. Please note that CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 75% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you understand how CFDs work, and whether you can afford to take the high risk of losing your money. Past performance is not an indication of future results. Cryptoassets are volatile instruments which can fluctuate widely in a very short timeframe and therefore are not appropriate for all investors. Other than via CFDs, trading cryptoassets is unregulated and therefore is not supervised by any EU regulatory framework.