Stellar Development Foundation (SDF), announced the launch of Muxed, a new account type. The Muxed account is a model that removes friction and allows users to interact with each other. It’s a network-based model and multiple services built on it.
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According to the post, a Muxed account is one that combines the GABC and 64-bit integer ID to create a “virtual” account under a traditional address. Because of its specific characteristics, muxed accounts can be identified in a real account.
Stellar allows a product or service to create multiple accounts and can manage them more easily. This will allow the company to avoid any hassles such as meme issues. The SDF has called on “products and services built on Stellar” to check if the validators are compatible with the new account model and asked them to “come up with a plan to implement” muxed accounts into their system. They said that:
Muxed accounts can be used to map inbound payments to an intra-company customer database by custodial services. Muxed accounts may be used by companies to map outgoing payments to customer or invoice accounts.
The SBF also revealed that muxed accounts have other characteristics. They will differ in the encoding of the account. These accounts will only be able to store 69 characters and they won’t hold 56 like traditional accounts. Muxed accounts, therefore, will use M instead of G as the first character.
The Stellar Muxed Enhances the Transaction Experience
Per its GitHub repository, Stellar’s new account model could open more possibilities for the users, and all actors operating on this network and could finally remove the limitations of using a memo-based model:
People often forget to include the memo ID. This can lead to lost funds and expensive support calls. Memo IDs can only be used per transaction and not per account ID occurrence, so multiplexed accounts are subject to restrictions. (…) By adding an optional memo ID to the account ID type, we make multiplexed (Muxed) accounts a first-class abstraction that can be used anywhere a normal account ID can be used.
It could greatly improve exchanges’ and custodials’ operations with Stellar transactions. Additionally, users will have the ability to save both time and money because they won’t need to take part in transactions manually. Protocol 13 updated included muxed account implementations, which was revealed by the SBF.
The update was implemented in 2020. However, the muxed accounts remained secret until yesterday (January 10).Th, 2022. Projects on the network did not have the ability to use older Stellar software versions. This allowed them to take their time updating and adjusting to the new model.
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As per press time, XLM is trading at $0.22, with some sideways movement on the 4-hour chart (see below).
