In recent news, Stellar has started to rise up in the market and here’s why.
Stellar has now been given certification for its blockchain platform and cryptocurrency that is related. With the aim to integrate the technology into the field of sharia-compliant financial products.
The move shows how fintech’s are leaving their mark and stretching their impact, so they can include the booming markets in the Middle East and Southeast Asia as to encourage Islamic scholars to research the religious validity of digital currencies.
This certification is covering Stellar’s blockchain and its Lumens – the native currency to Stellar’s blockchain – which is also the seventh biggest cryptocurrency with a market cap of over $4 billion!
Within the past year, the firm has been looking into partnering up with other financial firms in Gulf region and by receiving sharia-compliance certification, this really helped with their discussions.
The director of partnership at Stellar, Lisa Nestor has this to say:
“We have been looking to work with companies that facilitate remittances, including in the United Arab Emirates, Saudi Arabia and Bahrain. It’s a huge market.”
This isn’t the only reason Stellar has started to skyrocket, let’s look at what else they’ve been up to:
Stellar’s cryptocurrency trading platform, Stronghold has been in the news recently as it’s about to launch its very own stablecoin. Through it’s parent network’s blockchain and in a collaboration with IBM, stablecoin is getting ready to launch.
According to an official press release, Stronghold USD will be backed with “one to one US dollars per coin.”
FDIC is also apparently protecting the stablecoin. This is something that no other cryptocurrency or stablecoin (except for Gemini and Coinbase) can claim.
As an exchange, Stronghold is acting as a Stellar network, a trusted body which holds deposits and issues corresponding credit for these deposits.
The involvement of IBM means that the project is given the legacy tech companies ongoing partnership with Stellar. Another thing to consider is that Stronghold has chosen to team up with IBM so they can explore the potential business and enterprise application of their newest offering.
This partnership will put this potential to the test by examining use cases for the blockchain businesses which leverage IBM blockchain platform.