A Strategy to Become a Millionaire by Buying Stellar
Date: 2024-02-17 Author: Dima Zakharov Categories: BLOCKCHAIN
Understanding Stellar
Stellar (XLM) is the native cryptocurrency of the Stellar blockchain, utilized by entities like MoneyGram and IBM World Wire for financial transactions. Despite the recent growth in the crypto market, XLM is still trading significantly below its all-time high reached in January 2018.
Market Opportunities Amidst Price Fluctuations
Price drops often lead to panic selling among novices. However, experienced traders view these events as opportunities to build a reliable mid-term or long-term portfolio and acquire desired coins at a discount.
What is Stellar?
Established in 2014 by Ripple co-founder Jed McCaleb, Stellar aims to provide an open network for fast and affordable money transfers. Its high throughput and low fees make it attractive for international transactions, particularly in regions with limited access to traditional financial services.
Calculating Stellar Investment
To calculate the number of tokens needed to become a millionaire when XLM returns to its historical peak, a simple formula can be used:
Number of tokens = Target amount / Expected future price
Where:
- Target amount is $1 million
- Expected future price is the historical maximum of $0.8756
Therefore, to achieve a $1 million portfolio, approximately 1,142,727 tokens need to be purchased. At the current price of $0.118 per token, the total cost would be $134,840.
Considerations and Risks
It's crucial to recognize the volatility of the crypto market and its susceptibility to unforeseen events. The calculations provided are based solely on current data and assumptions. Always prioritize risk and money management, and only trade with funds you can afford to lose.
