Why Stellar Network Could Be Your Best Bet for Token Launch

 

 

Why Stellar Network Could Be Your Best Bet for Token Launch

While Ethereum often steals the limelight when it comes to launching tokens, its limitations are impossible to ignore. With its snail-paced 14 transactions per second, many businesses are setting their sights on alternative blockchain platforms like Stellar Lumens.

Advantages of Using Stellar

Before diving into the step-by-step guide, let's explore why Stellar stands out:

• Decentralized & Open-Source: The hallmarks of a robust blockchain system.
• High Throughput: Capable of supporting thousands of transactions per second.
• Rapid Confirmations: Transactions settle in a mere 3–5 seconds.
• Smart Contract & Multi-Signature Support: Expands the utility of the platform.
• Low Inflation: A mere 1% fixed annual rate.

What You’ll Learn Here

This guide aims to walk you through:

• Creating issuance and distribution accounts.
• Establishing a trustline between these accounts.
• Locking the issuer account post-token creation.
• Distributing the newly minted tokens.

Step 1: Setting Up Issuance and Distribution Accounts

1. Go to Stellar's Laboratory.
2. Generate a keypair.
3. Note down the secret and public keys.

Fund the issuing account using Stellar's Friendbot tool. Follow the same procedure to create and fund a distribution account. You can verify the accounts' balances by appending your public key to this URL: https://horizon-testnet.stellar.org/accounts/[Your Public Key]

Step 2: Trustline Establishment

1. Go to the Transaction Builder.
2. Input the distribution account's public key.
3. Fetch the next sequence number.
4. Choose ‘Change Trust’ as the operation type.
5. Enter your chosen asset code and the issuing account’s public key.
6. Set the trust limit and complete the transaction.

Step 3: Locking the Issuer Account

1. Go back to the Transaction Builder.
2. Use the issuing account's public key.
3. Choose ‘Set Options’ as the operation type.
4. Set master weight to zero.
5. Sign and submit the transaction.

Your token is now live on the Stellar testnet!

Step 4: Ready, Set, Distribute!

You can distribute tokens through multiple avenues, such as decentralized exchanges within the Stellar network. Consider pre-authorized transactions, issuing dividends, or even running auctions to distribute your tokens.

Wrapping Up

Stellar Network offers a cost-effective and rapid alternative for token issuance compared to Ethereum. With its promising features, it's worth giving Stellar your attention if you're planning a token launch.