The United States Securities and Exchange Commission (SEC) and Ripple have been in the limelight these days, thanks to their participation in a lawsuit addressing the legal status of XRP. While uncertainty remains, many have shifted their focus to other cryptos such as Stellar Lumen (XLM), an altcoin run by Jed McCaleb, a former manager at Ripple.
Despite being similar to Ripple, the Stellar Development Foundation has managed to distance itself from controversy, stating that it is open to a wider range of products, offers and partnerships. However, there are still doubts among holders about the status of the XLM token. These doubts were recently addressed by SDF CEO Denelle Dixon, who said XLM was more prone to service.
What we’re doing with Stellar and the Stellar Development Foundation is to focus on using these technologies, including tokens. It is a utility like tokens in XLM and therefore we focus on leveraging the bridge currency in the network.
Highlighting the use cases of the network and the use of Stellar during an interview, Dixon said from the Foundation’s perspective that XLM is the bridge currency and a utility on the network.
Given the role that Jed McCaleb plays in Ripple, XRP and XLM have a complex history. His departure from Ripple caught the attention of many, and his introduction of Stellar Lumens was seen as a rivalry to Ripple and its native token, XRP. However, despite the fact that the contractual payment of XRPs to McCaleb is still seen as an issue, Stellar has gradually managed to go its own way.
Still, no legal issue has yet been raised by the SEC regarding the sales or status of XLM.
Meanwhile, the Stellar network is moving forward with a mission to fill the gaps with all fiat currencies. His latest addition will be Bermuda’s digital dollar, following in the footsteps of Ukraine in January 2021.
According to management, these projects are working on their own and the only time the network plays a supporting role is when there is a technological glitch or ecosystem developments. With fast transactions and low fees, the network is growing to add more fiat and may soon consider other countries such as Nigeria, Mexico, Argentina and Brazil to bring their fiat to the network.