Shift is partnering Lightyear to integrate Stellar Lumens. This deal will see Stellar Lumens gain more pairings with different fiat pairings from all across the world. One of the biggest advantages of this partnership is that it will increase XLM adoption in the developing world. That’s because Shift is largely active in the developing world. This means that people in nations with low-levels of financial integration can now gain access to Stellar paired in their local currency. That’s a plus in enhancing the global reach of Stellar (XLM).
This partnership also means that Stellar (XLM) will now be more accessible without having to first buy Bitcoin (BTC). As with every other cryptocurrency out there, the biggest hindrance to growth is in the heavy reliance to bitcoin (BTC). However, through this partnership, there will wider trading of Stellar against fiat, which means that in the long-run, the value of Stellar (XLM) will not be so heavily dependent on the value of Bitcoin (BTC). Basically, this partnership is one of many in Stellar (XLM)’s journey to decoupling from bitcoin (BTC). The decoupling may not happen overnight, but it’s actually happening.
This partnership also boosts Stellar (XLM) because as fiat pairings increase, so will the liquidity of XLM. A high liquidity gives Stellar a good chance for adoption by the banking industry for cross-border settlements. That’s because for it be to be practical for such purposes, it has to be liquid enough, such that large transactions can’t lead to wild fluctuations in price.
This liquidity will come from a wider access and trading of Stellar (XLM) thanks to the integration with Shift. As more people gain access to XLM through fiat pairings, this liquidity will be a reality in the near future. As such, Stellar (XLM) now has an even better chance of gaining adoption by the global banking system, a move that give a massive push to XLM’s overall value.
Of course, Stellar’s increased accessibility to new pairings also means that it will be less susceptible to pump and dump schemes. That’s because with a high liquidity, it becomes more difficult for a few players try and manipulate the price. This stability is a plus for the overall growth of Stellar Lumens not just in banking, but also in other industries where currency stability is a key necessity.
In essence, the Shift-Lightyear deal is a major plus for the price of Stellar (XLM). As people get to learn about this deal, it will be a welcome anchor to the price of Stellar (XLM) in this bear market. It may not lead to an instant moon, but it’s a stabilizing effect. However, on a longer term scale, it’s definitely a win for XLM. It places Stellar on a good path to global adoption, adoption that crypto investors are craving for at the moment. It won’t be surprising if Stellar (XLM) becomes the currency of choice in the developing world, and help improve lives.