Lumens (XLM), the native cryptocurrency of the Stellar blockchain had created quite a buzz when it changed its name from ‘Stellar,’ in 2015. However, as per the developers, the change was needed to avoid confusion between the currency and the network itself.
Similar to any other cryptocurrency, Lumens are built into a network and can be stored in specially-created wallets. XLM, like any other digital asset, has to be stored securely to avoid any, otherwise ordinary, hacking activities targeting your coins.
How to Store XLM Safely
New users are usually concerned about how to store their XLM; however, it is more important to focus on how to store XLM safely. Although the most convenient place to keep your assets is on the exchange’s wallet, it is not the safest option you should choose.
Leaving your XLM on the exchange is risky because the coins are practically in the trust of someone else. And since that entity might not be working in your best interest, your assets could be be subject to one of the common attacks that have as a target crypto coins.
The only way to keep your XLM safe is to be the only one to have access to the private key of the wallet address where you stored the coins. Simply put, on a desktop, mobile or hardware wallet, not on an exchange platform.
Once your coins are safely deposited into your wallet, ensure you have at least one backup of the private key. It is best to place your backups in different places, so if you lose one, you can always get the other.
You should keep in mind – at all times – that if you lose your private key, you lose all your coins as you won’t be able to access your wallet anymore.
Stellar Lumens (XLM) Wallet Types
Similar to any other cryptocurrency, XLM can be kept in personal digital storages known as wallets. There are three different types of wallets that allow users to store their coins: Lumens desktop wallets, Lumens mobile wallets, and Lumens online wallets.
Here is what you need to know about these three types of wallets:
Lumens Desktop Wallets
As the name implies, these wallets can be stored on your desktop device. Depending on the type of computer, these wallets can be further divided into Mac wallets, Windows wallets, and Linux wallets. This type of wallet is the most secure out of the ones we’re discussing because it allows users to set up 2FA and other protections.
Mac wallets include the Stellar Desktop Client and Stargazer. Windows support the Stellar Desktop Client, Stargazer, Ledger, and Stellar Portal wallets. Finally, Linux offers support for Stellar Desktop Client wallet, Stargazer, and Stellar Portal wallets.
Lumens Mobile Wallets
Mobile wallets are for those users on the move as they can be accessed in no time from a smartphone. And since they are based on mobile devices, they are further subdivided into Android wallets and iOS wallets.
While Android supports more Lumens wallets, such as Lobstr, Centaurus and Stargazer, iOS supports the Lobstr wallet.
Mobile wallets are great because they are easy to access and offer some more privacy and security than online wallets on various exchange platforms.
Lumens Online Wallets
Although on an exchange, these wallets are personal but are more prone to be hacked than desktop and mobile wallet apps, mainly because they are online.
You can store your XLM on these wallets, including Ledger, eBitGo, Stronghold, BlackWallet, StellarTerm, Lobstr, LuPoEx, SAZA, Stellar Portal, Stellarpay, Papaya, and Luuun, but you mustn’t ignore the risks of keeping your coins on these exchanges.
The Bottom Line
XLM has numerous wallets supporting it besides the dedicated one. But as we stressed through the article, online wallets are not as safe as desktop and mobile wallets. Besides offering 2FA and other means of protection, desktop wallets are by far the safest and closest to hardware wallets, which are the best storages for cryptocurrency.
When on the go, mobile wallets are another great option that gives you the change to check your coins and prices with a few taps. These wallets are also protected by a PIN code you need to set up.