Stellar's native token XLM experienced a sharp rally on Friday following the announcement that the Depository Trust & Clearing Corporation (DTCC) plans to tokenize DTC-custodied assets on the Stellar network by the first half of 2027. The token surged 33.7% in a single day, with trading volume skyrocketing 900% to $935 million, according to CoinGecko data.
The partnership marks a significant institutional endorsement for Stellar, as the DTCC processes over $114 trillion in assets annually. The initiative aims to integrate tokenized securities onto the Stellar blockchain, positioning it as a key settlement layer for real-world assets (RWA) and reinforcing its role in the growing tokenization trend.
However, the plan also sparked debate. Crypto commentator Omid Malekan criticized Stellar's Stellar Consensus Protocol (SCP), arguing it lacks economic security because it relies on trusted validator relationships rather than open economic competition. Stellar developer Garand Tyson responded sarcastically, noting that Stellar validators are publicly known, cannot perform MEV extraction, and depend on community trust instead of token incentives.
Cardano founder Charles Hoskinson stepped in to defend Stellar, calling it “perfectly legitimate technology” and emphasizing that diverse blockchain architectures can coexist. Hoskinson has consistently supported Stellar and its founder Jed McCaleb since 2017, and in July 2025 he congratulated XLM on rallying over 100% to $0.5194, proof of the ecosystem's resilience.
As of the latest trading, XLM is hovering near $0.17–$0.18, showing strong momentum even as the broader market remains under pressure. The token had previously declined to $0.1702 before the DTCC news, and the renewed institutional tailwind is seen as a catalyst for further adoption in tokenized securities.
