How to Create a Token on Stellar: Issuer, Trustlines, and Distribution

Stellar was built for asset issuance: creating a token is a protocol-level operation, not a smart contract. In minutes you can issue a stablecoin, loyalty point, or game token that trades on the Stellar DEX and works with every Stellar wallet. Here is the full flow.

1. Create two accounts

Use separate issuing and distribution accounts — best practice since the issuing account should stay cold. The issuing account defines the asset (e.g., MYCoin:GBLA…XYZ); the distribution account receives supply and pays it out. Generate both on testnet first via theStellar Laboratory.

2. Open a trustline from distribution to issuer

Stellar accounts can only hold assets they explicitly trust. From the distribution account, submit a Change Trust operation for your new asset code and issuing address. This costs a 0.5 XLM base reserve.

3. Issue the supply

From the issuing account, send a Payment of your asset to the distribution account — that payment is the minting. Whatever amount you send becomes the circulating supply (you can issue more later by repeating it, unless you lock the issuer).

4. Configure issuer flags

Key flags on the issuing account: auth_required (holders must be approved — what regulated stablecoins use), auth_revocable (freeze/claw back trustlines), and auth_immutable (lock all flags forever — maximum decentralization, no take-backs).

5. Publish metadata and distribute

Host a stellar.toml at your domain's .well-known path describing the asset (this is also what the official Stellar ecosystem directory requires). Then distribute: payments to holders (who open trustlines), sell on the Stellar DEX, or route through anchors for fiat on/off-ramps.

Keep learning

Original issuing guide ·What is a trustline? ·What are anchors? ·Stellar hub ·Stellar Network masterclass

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