How to set up deposits and withdrawals on the Stellar Blockchain?

How to set up deposits and withdrawals on the Stellar blockchain? 

Stellar is now one of the world’s leading blockchain systems. It is a decentralized, open-source network that connects different financial systems together. As a user, you can send, receive and transfer crypto in seconds using Stellar. It enables users to create assets and connect them to existing financial rails or networks to transfer value onto or off them. These connections are made possible through services known as “Anchors.”  

Here is how you can make deposits and get withdrawals from Stellar. Once you are familiar with the two processes, we will tell you how to accomplish the entire process. 

Depositing on Stellar 

  • To deposit an asset on the Stellar network, launch the SEP-24 wallet app on your smartphone.  
  • Then, choose the asset that you wish to deposit. You may now pick a specific anchor of your choice, or the wallet will fix it for you.  
  • Once the wallet has been authenticated with the anchor, enter the KYC and transaction details as directed by the anchor.  
  • The wallet will then provide instructions, after which you can deposit fiat dollars with the anchor.  
  • After the wallet receives the deposit, you will get the tokenized asset from the anchor’s distribution account on the Stellar network. 
  • You may now utilize the Stellar network’s digital assets for various purposes such as payments, remittances, trading, storing value, etc. 

Withdrawing from Stellar 

  • To withdraw your asset from the Stellar network, use the wallet app and pick the asset to withdraw.  
  • Your wallet will automatically locate the necessary anchor.  
  • After authenticating the anchor, your wallet will access the URL and prompt you to enter transaction information.  
  • Before proceeding, the wallet will request your consent.  
  • Once permission is granted, the wallet will transmit the stated amount of your asset balance to the anchor’s Stellar distribution account. 
  • As soon as the anchor receives the payment, you can withdraw the cash by bank transfer. 

Set up on the Stellar network 

  • Begin by configuring the /info Endpoint. Anchors may send vital information to wallets, trading interfaces, and other Stellar programs via the /info endpoint. It also describes the cost structure for each currency and answers client inquiries. 
  • Anchors can use their Stellar accounts to authenticate individuals. It is a mechanism for determining whether the Stellar private key for a specific account is held by the user. It depends on a variant of mutual challenge-response and uses Stellar transactions to encode challenges and responses. 
  • The deposit flow serves as the gateway to the Stellar network. Users can transfer funds via local railroads to a stablecoin issuer for the digital form of the transferred monies. The wallet begins by probing the /info endpoint and establishing an authenticated user session. 
  • The withdrawal flow is the exit point from the Stellar network. To return digital assets, the user makes a web payment, and the anchor deposits the equal value in fiat money into their bank account. 

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Set Up a Production Server 

  • After testing the deposit and withdrawal flows, you may begin the actual deployment after executing a comprehensive security assessment to guarantee there are no vulnerabilities. 
  • Maintain the test server while moving the production system to a new environment. You may evaluate new features on the test net with two deployments before migrating them to the final production deployment. If there is a large team working on this codebase, or if there will be numerous releases to be checked internally before sharing with other institutions, you can additionally have a third staging environment. 
  • Most anchors must gather KYC information to confirm compliance with local requirements before honoring deposits and withdrawals. 
  • Pre-filling the KYC form to decrease the friction of getting started is an excellent method. 
  • Fiat-backed token issuers should maintain an entire reserve, meaning a 1:1 link between bank funds and Stellar network tokens. Each Stellar network fiat currency is backed by a real-world asset and may be redeemed. As a result, its issuers must link to genuine banking rails to confirm user deposits and process user withdrawals. 
  • After installing the banking rails, you should complete your systems’ security assessment. Some anchors add a manual last step before accepting withdrawal transactions for added security. However, this phase is only significant if the wait duration matches user expectations and does not negatively impact the user experience. 
  • Once your application is completely working, it is always a good idea to test multiple scenarios and edge situations to check that your system’s behavior fits the expectations. For example, if you’re issuing your asset and providing an on/off-ramp, run a generic test to guarantee asset issuance. A KYC test can check the presence of KYC with a new wallet. Deposit and withdrawal checks help ensure that both procedures go well. Perform a transaction test to confirm that the /transaction endpoint is functional for a freshly formed transaction. Finally, a security test can ensure that the distribution is made through an exclusive distribution account rather than an issuing account. 


It would be best if you prepared for the launch now that all specs have been completed and set up. You can also provide a language option page to the user at the start of the deposit and withdrawal processes. Users purchasing and selling orders will begin to fill their order book as soon as your asset is ready for in-app withdrawals and deposits. As a result, having a vibrant market with a deep set of orders on both sides is critical to guaranteeing that these orders have liquidity.  

To make a clear relationship between the Stellar asset and the URL, your issuing account must link to a website that provides further information to wallets and customers. Finally, anchors must be linked to wallets because all anchor user interactions occur through them. Connecting to wallets with high market penetration is advantageous. 

Connecting to wallets is straightforward since both sides of the integration already adhere to the SERPs. keeps track of wallets, including those that now support SEP-24. 

Stellar is an excellent and highly effective blockchain platform that provides its customers with several benefits. The option to set up deposits and withdrawals on the platform is one such opportunity.  

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