There is no doubt that the current rally on the market is fueled by events in the Ripple Labs and XRP ecosystem. Besides Bitcoin (BTC), a number of altcoins have also joined the rally. Of these altcoins, Stellar (XLM) is arguably one of the biggest beneficiaries of these rallies. At the time of writing, Stellar is trading at $0.1079, up by 5.2% over the past 24 hours.
While not alien to positive price volatilities, Stellar’s growth closely mirrors that of XRP, a trend that suggests a very close correlation. The justifications are visible. With XRP gaining legal clarity that it is not a security when traded on exchanges, the aftereffects might be enjoyed by Stellar, seeing as it offers the same value proposition as payment tokens.
Stellar is designed to facilitate payments in an efficient way.
While its origin is closely linked to Ripple, Stellar has charted its own path over the years and has become a successful and independent blockchain payment protocol. While direct future SEC crackdowns cannot be ruled out, XLM is poised to capitalize on XRP’s victory, which has now formed an impeccable precedent for related cases in the United States.
Independent Stellar ecosystem
Despite the current observable correlation, Stellar has grown to become a very diversified protocol with notable milestones.
One of the most prominent updates in the Stellar network is its latest partnership with American fintech firm Moneygram. The partnership features the creation of a new crypto wallet to further broaden Moneygram’s foray into the digital currency ecosystem.
Besides this, XLM is known to chart momentary solo rides among top altcoins in the ecosystem, and besides its price action, it is known to have initiated a number of protocol upgrades in the past few months. Suffice it to say, the XRP outlook is a good catalyst that complements the highly attractive Stellar ecosystem.
