Stellar Lumens: How to Store XLM Safely and Types of XLM Wallets

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.

Stellar (XLM) – What You Should Know Before You Buy It

The Stellar network is an open-source, distributed, and community-owned system used to ease cross-asset transfers of value. Its aim is to help facilitate these transfers at a fraction of a penny while trying to be an open financial system that offers people of all income levels access to affordable services.

Using the platform’s intermediary currency, Lumens (XLM), an individual can send any currency they own to anyone else in a different currency. Stellar is also a payment system that aims to connect financial institutions and significantly reduce the cost and time needed for cross-border transfers.

Benefits of XLM

Stellar aims to be a blockchain network that provides financial access to people in all regions of the world, more so those in the unbanked and underbanked areas. The major benefits of XLM are the low transaction fees, fast transaction speeds for cross-border transfers, and tight security.

Is XLM a Fork of XRP (Ripple)?

Because of the similarities between these two cryptocurrencies, some people assume that XLM is a fork of XRP (Ripple’s token). However, the consensus protocol of the two networks is rather different – while Ripple relies on voting, with transactions approved by over 80 percent of the nodes, XLM allows its nodes to become validators.

Moreover, the two differ in their target audience. XRP is known for offering services to banks and other financial institutions, while XLM focuses on providing transfer services to individuals.

How Does XLM Work?

XLM runs on the Stellar Consensus Protocol, which is a decentralized network of peers that operate independently. The decentralized servers system on the blockchain syncs and reaches consensus, creating the network and enabling the ledger to be divided evenly and as widely as possible.

The Stellar Consensus Protocol allows the network to reach better speeds and be more efficient in comparison to most blockchains operating on Proof-of-Work (PoW) consensus protocols.

Stellar uses what we know as ‘anchors,’ which are entities that people trust to take care of their deposits and distribute credits into the blockchain for the deposits made. The anchors operate as bridges between various currencies and the Stellar blockchain. All the transactions carried out on the Stellar network, besides XLM transactions, are performed in the form of a credit issued by the anchors.

The anchors on the blockchain help with currency transfers; for instance, if you want to send USD for EUR and there are no available trading pairs, the network will trade the USD for XLM and then trade the XLM for EUR. If this option is difficult to process, the network will consider another option – it could exchange the USD for Bitcoin (BTC), then the BTC for XLM, and then the XLM for EUR. Overall, the network always finds the friendliest and fastest way to facilitate the transfers.

How to Buy and Store Lumens (XLM)

To use the Stellar network, you need XLM. Fortunately, the crypto coin can be purchased from various cryptocurrency exchanges and is also available for trade directly on the Stellar blockchain.

After buying XLM, we don’t recommend you to keep them on the cryptocurrency exchange because such platforms are relatively vulnerable to attacks. Rather, you can store them on hot or cold wallet storage units such as Ledger or Trezor. After storing your XLM, make sure you keep your private keys safe so that you don’t lose access to your wallet permanently.

The Bottom Line

Stellar Lumens (XLM) is one of the top cryptocurrencies by market capitalization. It is a popular digital asset that helps facilitate cross-border transfers. Still, unlike Ripple, which focuses on banks and other financial institutions, the Stellar network offers its services to individuals. The Stellar network also facilitates rapid and safe cross-border transfers with low transaction fees.

3 million active users help lift Audius (AUDIO) to a new all-time high


As blockchain technology increasingly becomes part of the mainstream conversation, its integration with today’s most used technologies is bound to increase. This means that it’s only a matter of time before video streaming, digital music and social media see gradual blockchain integrations take place. 

Audius (AUDIO) is one project that is chasing the first-mover advantage in the music streaming sector. The music-sharing and streaming protocol facilitates transactions between creators and listeners, making it relatively effortless for users to distribute and monetize audio content. 

The project has received increasing attention for its approach to decentralizing the music industry and on March 2 the team celebrated reaching 3 million monthly active users. 

Data from Cointelegraph Markets and TradingView shows that the price of AUDIO surged 108% since the start of March from a low of $0.38 to a new all-time high of $0.79 on March 4 as the altcoin’s trading volume spiked from $3 million to a record $55 million.

AUDIO/USDT 4-hour chart. Source: TradingView

Staking incentives drive user adoption

The first major increase in users followed the project’s October 2020 launch and the activation of staking on the Audius platform in December. This enabled AUDIO holders to earn a 7% yield for tokens that were staked on the network while they listening to music and interacted with the protocol.

By the end of January, the platform had 1.8 million active users and a total of 122 million AUDIO tokens staked on the network. These figures have since increased to 3 million users and a total of 182.5 million staked AUDIO as the platform continues to integrate new features that incentivize community involvement.

VORTECS™ data from Cointelegraph Markets Pro began to detect a bullish outlook for AUDIO on Feb. 28, prior to the recent price rise.

The VORTECS™ score, exclusive to Cointelegraph, is an algorithmic comparison of historic and current market conditions derived from a combination of data points including market sentiment, trading volume, recent price movements and Twitter activity.

VORTECS™ Score (green) vs. AUDIO price. Source: Cointelegraph Markets Pro

As seen in the chart above, the VORTECS™ score for AUDIO hit a peak of 69 on Feb. 28, just before the start of a prolonged uptrend in price which was further identified by a VORTECS™ score of 80 on March 1. After pulling back over the next 3 days the score again spiked to 70, just hours before a significant rise in the price of AUDIO.

On March 5, the project revealed its plans to integrate non-fungible tokens (NFT) into the protocol as part of its effort to offer a full-service decentralized platform and expand its user base.

NFTs have become a hot topic in the cryptocurrency sector in recent months, and their integration into the AUDIO platform is likely to bring a renewed wave of interaction from users.

As blockchain technology continues to become more prominent in mainstream society, Audius appears well-positioned to become a leader in the streaming music space thanks to a rapidly expanding user base and a growing list of incentives that entice users to stay active on the platform.

The views and opinions expressed here are solely those of the author and do not necessarily reflect the views of Every investment and trading move involves risk, you should conduct your own research when making a decision.