Stellar (XLM) 7 days price soars 111%

Stellar (XLM) 7 days price soars 111% after recent developments suggest a potential collaboration between Cardano and Stellar. Charles Hoskinson, founder of Cardano, has engaged in discussions with Jed McCaleb, co-founder of Stellar.

While specific details of their meeting remain undisclosed, this interaction has sparked speculation about a possible partnership between the two blockchain platforms.

Both Cardano and Stellar have been active in forming strategic alliances to enhance their blockchain ecosystems. Notably, Stellar recently partnered with Mastercard to integrate Mastercard's Crypto Credential solution into the Stellar network, aiming to simplify and secure cryptocurrency transactions.

As of now, there is no official confirmation of a partnership between Cardano and Stellar. However, the ongoing dialogues between their founders indicate a mutual interest in exploring collaborative opportunities.

Furtheremore, SEC Chair Gary Gensler’s resignation might leave helped skyrocket XRP and XLM.

Gary Gensler, the Chair of the U.S. Securities and Exchange Commission (SEC) since April 2021, announced his resignation effective January 20, 2025, coinciding with President-elect Donald Trump's inauguration.

XLM up 111%. While, XRP 7 days price up 28%.

XLM (Stellar Lumens) and XRP (Ripple) share a common origin, as both projects were co-founded by Jed McCaleb.

Despite their similar roots and overlapping missions to enable seamless cross-border transactions, the two networks have taken distinct paths in terms of their technology, governance, and overarching philosophies.

Similarities Between XLM and XRP:

Co-Founder:

Jed McCaleb, an early blockchain pioneer, co-founded Ripple (XRP) and later established Stellar (XLM).

His involvement in both projects contributes to their shared vision of facilitating efficient and affordable global payments.

Mission:

Both networks aim to revolutionize cross-border payments by reducing transaction costs and settlement times.

Differences Between XLM and XRP

Target Audience

Ripple (XRP): Primarily targets financial institutions like banks and payment providers. Its main focus is on enterprise adoption through solutions like RippleNet and the On-Demand Liquidity (ODL) system.

Stellar (XLM): Focuses on the unbanked population and enabling peer-to-peer (P2P) transactions. Stellar collaborates with non-profits, governments, and businesses to foster financial inclusion.

Governance

Ripple is managed by a private company (Ripple Labs), giving it a more centralized structure.

Stellar is overseen by the Stellar Development Foundation (SDF), a non-profit organization promoting a decentralized and open financial network.

Token Usage

XRP: Functions as a bridge currency for liquidity in interbank transactions.

XLM: Used primarily for reducing transaction costs and as a medium of exchange on the Stellar network.

Regulatory Challenges:

Ripple has faced ongoing legal scrutiny, most notably in the SEC lawsuit over whether XRP is a security.

Stellar has largely avoided similar controversies, focusing on partnerships and compliance-friendly strategies.

Interconnected but Distinct Paths

Although XLM and XRP are rooted in the same vision of improving global payments, their approaches have diverged.

Ripple is corporate-focused, building solutions for institutional players, while Stellar's mission aligns more with grassroots-level financial inclusion and P2P use cases.

Market Reactions:

The news of Gensler's impending departure has been positively received by the crypto community, particularly among XRP investors.

Under Gensler's leadership, the SEC initiated legal actions against Ripple Labs, alleging that XRP was an unregistered security.

His resignation has sparked speculation that the incoming administration may adopt a more crypto-friendly regulatory approach, potentially leading to the dismissal of ongoing cases against Ripple.

XLM has experienced a surge in investor interest. The anticipation of a more favorable regulatory environment under the new administration has contributed to this positive sentiment.

Market participants are hopeful that the change in SEC leadership will result in more friendly policies toward cryptocurrencies like XRP and XLM.