Stellar to auction STR to cover expenses

In order to cover operating expenses, Stellar will be holding an auction of its currency (STR) commencing from March 16. It will be held on the "Stellar internal distributed exchange". It said that the amount auctioned will be just adequate for it to meet its expenses.

The opening price will depend on the STR's 30-day trailing average and participants can specify their desired amounts and prices. The company made the disclaimer that like all cryptocurrencies, there are no guarantees as to its value, which can fall even to zero.

Stellar board members, employees or consultants cannot participate in the auction. At present, its highest volume venues are BTC38 and Poloniex.

Auctions as a way of selling cryptocurrency have become quite popular. Recently the US Marshals held the third auction to liquidate the bitcoins seized from Silk Road. These auctions can create price divergence due to the lead times required for the auction process.