The Crypto markets have started 2018 very strongly. Most coins have made strong gains and none more so than Stellar Lumen (XLM). These large gains have resulted in major media outlets picking it up which has broadened out its market considerably.
There are two types of owner of Stellar Lumen , those that bought in the last three months and those that received a few thousand coins for free when the coin launched in 2014.
At the time the coin, supported by Stripe, was not heavily promoted the way coins are today but was widely discussed in the tech media and on Twitter. Full of innovations unlike a lot of the current crop of Cryptocurrency, its meteoric price rise may now be making you think about cashing in.
This simple guide will show you how to sell Stellar Lumen for Euro.
What is Stellar?
Stellar is different. Whereas most of the coins out there are just coins, Stellar is comprised of two things. The Stellar network, a hugely innovative payments network that can potentially be used to transfer everything from Dollars to Bitcoin and the other part, Stellar Lumen.
Stellar Lumen were coins created by the founders of Stellar. These tokens can also be sent on the Stellar network to pay for things potentially. But they have another use. There is a fee to send anything (Dollars, Bitcoin) on the Stellar payment network and this fee is paid in Stellar Lumen.
One Lumen is enough to make 100,000 payments though so a little goes an awful long way. When the time comes to sell Stellar it’s the Stellar Lumen tokens you will be selling.
How do I sell Stellar Lumen?
It is not easy to sell Stellar Lumen for Euro in Ireland. There is no online market. You may find a private buyer in an online forum who will buy them from you but this is obviously very high risk.
If you are holding Stellar Lumen in your original Stellar account before you go to sell your Lumen you may be asked to upgrade your account with Stellar before you can go any further. Its really easy but please be very careful to save the long line of numbers and letters you will be given.
One will make up your private key, you will need this to log in to your Stellar account in future, the other is your public key. That is what you will need to receive Stellar to your Stellar account, it is in effect your Stellar ‘address’.
Once you have done this the main way to sell Stellar Lumen is as follows:
- Open an account on a well-regarded exchange that trades Stellar Lumen, say Poloniex (Stellar is called STR for some reason on this exchange)
- Trade the Stellar Lumen for a coin that can be traded for cash, say Bitcoin
- Transfer the Bitcoin to an exchange that allows Euro withdrawals to a bank account, Kraken or ANXPRO
- Withdraw the money, Note try to go for an exchange that facilitates SEPA withdrawal as this will be cheaper than a bank wire transfer. ANXPRO does not do this but it does tend to be more available than Kraken which is going through a series of technical upgrades at present.
That’s it !
Its similar to how you would sell other coins such as Monero.
Do I have to pay tax on my profit in Ireland?
Yes! Gains are subject to Capital Gains Tax at 33%. Do not take guidance here from internet forums. Get professional advice especially if you have made substantial gains and get it now.
What does the future hold for Stellar Lumen?
Hard to know. The project started in 2014 and only really got any attention in the wider media in December 2017 when the price of the Stellar Lumen started to rise dramatically for no apparent reason. The underlying code had few updates from 2015 until relatively recently too so it seemed the system wasn’t taking off.
It has now taken off price wise but whether the rise in price is due to a rise in use or just wild speculation is something you will have to research yourself.
Depending on how comfortable you are with risk as a result of this research will determine whether or not you hold this coin. If not, hopefully this guide has given you some idea how to cash in.