StellarX opened up trading to the public, and this news is still reverberating in the market. Once people start trading on it, the impact on Stellar (XLM) will be huge. For one, it could mark the beginning of the decoupling of Stellar from bitcoin (BTC). That’s because it gives access to trading in not just in USD, but will be introducing other fiat pairings as well. Here is what StellarX had to say about this on their blog.
“We also, today, show tokens for Euros, Philippine Pesos, Nigerian Naira, Chinese Yuan, Hong Kong Dollar, and the British Pound, and we’ll add in-app deposits/withdrawals for these as soon as their issuers support our standards. We anticipate a full suite of forex stablecoins in the coming months: we will be a “local” exchange for many countries that currently have nothing.”
But why is this is big deal? Well, the fact that this platform is truly feeless means that it will draw in lots of stellar investors, looking to escape the fees they get charged by exchanges. This means that going into the future, Stellar (XLM) would be less susceptible to the price fluctuations of bitcoin (BTC).
To understand how big of a deal it is, one just needs to look at Metaverse (ETP). Metaverse has been on a consistent uptrend since June. Anyone who invested in Metaverse at that point is up by close to 500%, and it keeps on gaining. The primary difference between Metaverse (ETP) and other cryptos is that it is mostly traded in fiat, mainly the US dollar and the Chinese Yuan. Stellar could be headed for a similar move in the market, as people look to take advantage of feeless trading on StellarX.
When compared to Metaverse (ETP), Stellar has a way bigger intrinsic value in the market. As such, when traded primarily in fiat, its price would see way bigger gains than what Metaverse has accomplished so far. In essence even a 1000% price growth would be very possible now that StellarX is accepting all investors, and allows them to trade in fiat. In short, the true value of Stellar (XLM) will be revealed over time as more fiat trading happens.
Besides the price stability that decoupling will bring, it will also draw in more institutional money into this crypto. This is the wish of every crypto investor, to have institutional money such as mutual funds get involved in this space. Drawing in institutional money could see the value of stellar record unprecedented gains in the market.
The best part is that the decoupling of Stellar (XLM) from bitcoin will not just be driven by StellarX.StellarX could just be a trigger, for what could soon be the trend in the market. Once fiat-based trading on StellarX gains momentum, other exchanges will pick it up too, in a bid to stay competitive. Fiat on-ramps are increasingly becoming a reality on most exchanges, and soon they will be the primary way of buying not just Stellar, but most altcoins as well. The future looks promising.