Now that everyone has recovered from the shock of Bitcoin nearing $20k for the first time this decade, it’s time for Altcoins to shine. 

Two coins, Ripple (XRP) and their divided counter-part Stellar Lumens (XRM) have both reached record-breaking, two-year highs. What does this mean for the crypto market? It shows that the financial industry is finally accepting digital coins and blockchain technology into mainstream banking. 

Stellar Lumens

Currently, at a two-year high of .22 cents, Stellar Lumen (XRM) is on a comeback as  financial institutions begin to adopt decentralized finance as a new form of banking technology. 

But, the main reason for XLM’s incline is because of their release of an upgrade on the Stellar Blockchain called Protocol 15. The upgrade will improve Stellar’s network user experience. Two main features—claimable balances and sponsored reserves—enhance the smart contracts used to built new apps (similar to DeFi projects.) The announcement on November 23rd led to a 68% market increase and it hasn’t stopped since. 

Another piece of the puzzle to XRM’s bullish run is their collaboration with ClickPesa a B2B payment platform in East Africa. Using Stellar’s low fees and quick transaction rates, the company plans to lower remittance fees.

To also combat remittance woes, XRM plans to use the stable coin USDC on their blockchain in 2021 in hopes to open the crypto market further to the global economy. 

Ripple

It is not surprising that Ripple (XRP) is also skyrocketing as it is the original of the branched XRM team. And just like its cousin, Ripple saw a high not seen in 2 years when it hit .70 cents for the first time since June 2018. 

A lot of the price increases has to do with several FOMO factors. 

The first being the amount of on-chain traffic from new accounts being created—8,068 new XRP accounts today to be exact—a record for the year. 

Secondly, there is also buzz about a new XRP remittance finance product called PAYSTRING—trademarked by Ripple labs in early November. 

Finally, the amount of Ripple being bought and released by the XRP team affects the desire to buy. To support the market, Ripple bought back $45.5 million in XRP.  In addition, the scheduled monthly release of 1 billion coins has begun to increase liquidity for startups, investors, and company operations. 

Decentralized Crypto Finance is the Future

Ripple and Stellar Lumens’ rise shows a bright future for crypto finance as it aims to replace, absorb, and outshine the old way of banking, peer-to-peer commerce, and business transactions by removing third-party processing.

Read more about this economic transformation by reading Blockchain Technology to Decentralize the Financial Industry.

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