Ripple has collaborated closely with the XRP Ledger blockchain community to introduce a new automated market maker (AMM) protocol, unlocking decentralized finance (DeFi) capabilities within its XRPL blockchain ecosystem.
The recently launched XLS-30 AMM protocol is poised to revolutionize XRPL’s DeFi landscape, fostering cross-chain DeFi applications across 50 different blockchains.
While XRPL already boasts a decentralized exchange (DEX) with traditional order book functionality, the new AMM protocol addresses the evolving DeFi needs by incorporating advanced features pioneered in recent years.
According to a Ripple spokesperson, the AMM serves as a cornerstone for further DeFi advancements on XRPL, with integration plans extending to cross-chain messaging services such as Axelar, enhancing interoperability across blockchain ecosystems.
The brand new newsletter with insights, market analysis and daily opportunities.
Let’s grow together!
Development of the AMM, initiated in June 2022, reflects Ripple’s commitment to bolstering XRPL’s trading infrastructure. David Schwartz, Ripple’s CTO and XRPL co-founder, highlighted the AMM’s role in complementing the existing order book system and expanding liquidity options.
By integrating the AMM with order books, traders can seamlessly access optimal pricing while liquidity providers stand to benefit from yield generation opportunities, Ripple noted.
The AMM’s flexibility allows developers to establish liquidity pools for any asset pair issued on XRPL, catering to diverse trading needs. While the focus isn’t explicitly on institutional trading entities, the functionality could appeal to high-volume traders and firms.
In tandem with the AMM rollout, Ripple and XRPL are exploring on-chain regulatory compliance features to foster institutional adoption. The integration of cross-chain messaging protocols is anticipated to attract capital, crypto developers, and traders from various blockchain ecosystems, enriching XRPL’s DeFi landscape.
Hey, crypto enthusiasts! 👋 ☝️ MEXC will support the Chiliz (CHZ) network upgrade and hard…
Binance, the largest cryptocurrency exchange globally, has played a crucial role in the arrest of…
In the ongoing legal confrontation between Ripple Labs and the U.S. Securities and Exchange Commission…
LocalMonero, a peer-to-peer (P2P) trading platform known as the Monero equivalent to LocalBitcoins, has ceased…
The Starknet Foundation has launched a $5 million grant program dedicated to fostering innovation and…
Polygon, an Ethereum layer-2 scaling solutions developer, is intensifying competition in the blockchain scaling arena…