What is Stellar (XLM) and what is its main purpose?

Stellar is a decentralized blockchain platform designed to facilitate fast, low-cost cross-border payments. Its native token, XLM, acts as a bridge currency to help move value between different currencies and reduces transaction costs on the network. The project aims to enable financial access for the unbanked by partnering with banks, payment providers, and non-profit organizations. Transactions typically settle in seconds, with fees kept very low, making it practical for remittances, micropayments, and blockchain-based financial apps. Understanding the core use case—fast, affordable cross-border transfers—helps explain why Stellar has gained traction in the payments ecosystem.

How does Stellar achieve fast transactions and what are the typical fees?

Stellar uses the Stellar Consensus Protocol (SCP), a federated Byzantine agreement system that validators reach agreement on transactions efficiently, allowing quick finality. This design enables near-instant settlement, often within a few seconds. Transaction fees on Stellar are intentionally minimal to promote everyday use; fees are paid in XLM and have historically been fractions of a cent. In practice, the fee structure means you can send small or large transfers with predictable, low costs. As with any network, fees can fluctuate slightly with network load, but Stellar remains one of the most cost-effective blockchain payment rails today.

How many XLM are in circulation and what is the current supply like?

As of the latest data, Stellar has a circulating supply of approximately 32.73 billion XLM. Stellar has a fixed supply model and does not generate new coins through mining, which helps maintain predictable scarcity. A portion of the supply has been reserved or allocated for ecosystem development, grants, and partnerships. Investors should monitor official Stellar updates for any planned token burns, allocations, or changes in governance that could influence supply dynamics. Knowing the circulating supply provides context for price movements and market capitalization when evaluating the token as an investment or payment rail.

What are practical use cases for XLM today?

XLM serves as both a bridge asset and a facilitator of payments on the Stellar network. Practical use cases include: cross-border remittances with low fees and fast settlement, micropayments for digital services, currency exchange via the Stellar DEX (decentralized exchange) or third-party gateways, and partnerships with financial institutions to enable real-time payments. Developers can build wallets, payment apps, and settlement systems that leverage Stellar’s API and SDKs. For end users, XLM can be earned, held, or used to cover transaction costs within Stellar-enabled ecosystems. Always verify the latest adoption announcements from Stellar.org and project partners.

What are the risks and considerations before investing in or using XLM?

Key considerations include market volatility inherent to crypto assets, regulatory developments affecting cross-border payments, and project activity. While Stellar focuses on real-world use cases, price movements can be influenced by broader crypto market sentiment, competition from other payment rails, and the rate of network adoption. For users, consider security best practices: use reputable wallets, enable two-factor authentication, and store private keys securely. If you’re an investor, assess Stellar’s roadmap, development activity, and partner ecosystem. Diversification and a clear risk tolerance are essential when incorporating XLM into a portfolio.

Stellar (XLM) Interest Rates

Compare Stellar interest rates for lending, staking, and borrowing

$0.16

↓ 2.10%

Updated: February 27, 2026

Disclaimer: This page may contain affiliate links. Bitcompare may be compensated if you visit any links. Please refer to our Advertising disclosure.

Stellar Guides

How to buy Stellar

How to earn Stellar

Best XLM Interest Rates

Updated every 15 min

Lending

12.00% APY

on YouHodler →

Staking

11.00% APY

on Nexo →

Borrowing

1.90% APR

on Nexo →

Comparing XLM rates across 6 platforms to find you the best yields.

Best XLM Lending Options

Highest Rate:YouHodler(12.00% APY)

Maximum yield currently available

Best Overall:Nexo(11.00% APY)

Regulated CeFi with insurance

Recommendations based on current rates, platform type, and trust factors. Always do your own research before investing.

Compare Stellar (XLM) Interest Rates

Stellar Guides

How to buy Stellar

How to earn Stellar

Frequently Asked Questions About Stellar (XLM) Interest Rates

What is Stellar (XLM) and what is its main purpose?: Stellar is a decentralized blockchain platform designed to facilitate fast, low-cost cross-border payments. Its native token, XLM, acts as a bridge currency to help move value between different currencies and reduces transaction costs on the network. The project aims to enable financial access for the unbanked by partnering with banks, payment providers, and non-profit organizations. Transactions typically settle in seconds, with fees kept very low, making it practical for remittances, micropayments, and blockchain-based financial apps. Understanding the core use case—fast, affordable cross-border transfers—helps explain why Stellar has gained traction in the payments ecosystem.
How does Stellar achieve fast transactions and what are the typical fees?: Stellar uses the Stellar Consensus Protocol (SCP), a federated Byzantine agreement system that validators reach agreement on transactions efficiently, allowing quick finality. This design enables near-instant settlement, often within a few seconds. Transaction fees on Stellar are intentionally minimal to promote everyday use; fees are paid in XLM and have historically been fractions of a cent. In practice, the fee structure means you can send small or large transfers with predictable, low costs. As with any network, fees can fluctuate slightly with network load, but Stellar remains one of the most cost-effective blockchain payment rails today.
How many XLM are in circulation and what is the current supply like?: As of the latest data, Stellar has a circulating supply of approximately 32.73 billion XLM. Stellar has a fixed supply model and does not generate new coins through mining, which helps maintain predictable scarcity. A portion of the supply has been reserved or allocated for ecosystem development, grants, and partnerships. Investors should monitor official Stellar updates for any planned token burns, allocations, or changes in governance that could influence supply dynamics. Knowing the circulating supply provides context for price movements and market capitalization when evaluating the token as an investment or payment rail.
What are practical use cases for XLM today?: XLM serves as both a bridge asset and a facilitator of payments on the Stellar network. Practical use cases include: cross-border remittances with low fees and fast settlement, micropayments for digital services, currency exchange via the Stellar DEX (decentralized exchange) or third-party gateways, and partnerships with financial institutions to enable real-time payments. Developers can build wallets, payment apps, and settlement systems that leverage Stellar’s API and SDKs. For end users, XLM can be earned, held, or used to cover transaction costs within Stellar-enabled ecosystems. Always verify the latest adoption announcements from Stellar.org and project partners.
What are the risks and considerations before investing in or using XLM?: Key considerations include market volatility inherent to crypto assets, regulatory developments affecting cross-border payments, and project activity. While Stellar focuses on real-world use cases, price movements can be influenced by broader crypto market sentiment, competition from other payment rails, and the rate of network adoption. For users, consider security best practices: use reputable wallets, enable two-factor authentication, and store private keys securely. If you’re an investor, assess Stellar’s roadmap, development activity, and partner ecosystem. Diversification and a clear risk tolerance are essential when incorporating XLM into a portfolio.

Stellar XLM News

February 26, 2026Stellar Climbs Past $0.16 Amid Renewed Debate Over Decentralization in Blockchain Networks

Stellar (XLM) has risen back above $0.16, signaling a modest recovery after several weeks of consolidation.

February 26, 2026XLM bounces from $0.15 lows, but bears remain in control - CoinJournal

Stellar (XLM) price hovered above $0.16 after retesting resistance near $0.17 and could target $0.40 amid potential bullish momentum

February 25, 2026RWA Tokens To Watch In March 2026: 3 Top Picks

These 3 RWA tokens to watch are flashing bullish divergences and shifting on-chain data after months of decline, heading into March 2026.

Platform	Action	Max Rate	Base Rate	Min Deposit	Lockup	US Access
YouHodler	Go to Platform	12% APY	—	—	—	Not US
Nexo	Go to Platform	11% APY	—	—	210 days	Check terms
EarnPark	Go to Platform	8% APY	—	—	—	Not US
Nebeus	Go to Platform	4.5% APY	—	—	—	Not US

Platform	Action	Max Rate	Base Rate	Min Deposit	Lockup	US Access
YouHodler	Go to Platform	12% APY	—	—	—	Not US
EarnPark	Go to Platform	8% APY	—	—	—	Not US

Platform	Action	Best Rate	LTV	Min Collateral	US Access
Nexo	Get Loan	2.9% APR	—	—	Check terms
Nebeus	Get Loan	10% APR	—	—	Not US
YouHodler	Get Loan	12% APR	—	—	Not US

Stellar (XLM) Interest Rates

Stellar Guides

Stellar (XLM) Interest Rates

Best XLM Interest Rates

Best XLM Lending Options

Compare Stellar (XLM) Interest Rates

Stellar (XLM) Lending Rates

Stellar (XLM) Staking Rewards

Stellar (XLM) Borrowing Rates

Stellar Guides

Frequently Asked Questions About Stellar (XLM) Interest Rates

Stellar XLM News

Popular Coins

Best XLM Lending Options

Frequently Asked Questions About Stellar (XLM) Interest Rates

Stellar XLM News

Best XLM Interest Rates

Stablecoins

Compare Stellar (XLM) Interest Rates

Stellar (XLM) Lending Rates

Stellar (XLM) Staking Rewards

Stellar (XLM) Borrowing Rates

XLM Lending Rates Market Summary