The SHX (Stronghold Token) is connected to XLM (Stellar Lumens) because it is built on the Stellar blockchain. Here’s why:
1. Built on Stellar’s Network
- SHX is a token issued on the Stellar blockchain, which uses XLM as its native currency.
- Stellar’s network is designed for fast, low-cost transactions, making it ideal for tokenized assets like SHX.
2. Stronghold’s Relationship with Stellar
- Stronghold, the company behind SHX, is a Stellar Anchor and has been an active participant in the Stellar ecosystem.
- They provide financial services, including USD-backed stablecoins (like USD Anchor), leveraging Stellar’s infrastructure.
3. Use Case & Utility
- SHX was initially used for fee discounts and rewards within Stronghold’s platform.
- Stellar’s efficient system allows SHX to benefit from fast settlements (3-5 seconds) and low fees (fractions of a cent).
4. Stellar’s Interoperability
- Since SHX is a Stellar-based token, it can easily interact with other assets on the Stellar network, including XLM and stablecoins.
- Stellar’s decentralized exchange (DEX) allows SHX to be traded directly against XLM and other tokens.
Relationship Build with Sellar:
VELO , SHX
Conclusion
SHX is connected to XLM because it operates on the Stellar blockchain, relies on XLM for transaction fees, and benefits from Stellar’s speed and low-cost structure. Stronghold’s close ties with the Stellar ecosystem further strengthen this relationship.
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