XRP Ledger Proposes AMM Upgrade to Boost DeFi Liquidity

A new amendment aims to introduce three swappable curve types to XRPL’s automated market maker, potentially unlocking $3 billion in tokenized assets. A draft amendment filed for the XRP Ledger (XRPL) proposes adding three new automated market maker (AMM) curve types—consta

A new amendment aims to introduce three swappable curve types to XRPL’s automated market maker, potentially unlocking $3 billion in tokenized assets.

A draft amendment filed for the XRP Ledger (XRPL) proposes adding three new automated market maker (AMM) curve types—constant product, concentrated liquidity, and StableSwap—to improve capital efficiency for liquidity providers. The upgrade would allow pools to price assets more flexibly, addressing a long-standing gap in XRPL’s DeFi capabilities.

The proposal follows recent activity, including a Ripple-JPMorgan pilot, that has brought over $3 billion in tokenized real-world assets to XRPL. However, adoption hinges on a months-long amendment process, with no guarantee of approval.

If passed, the change could enhance liquidity for volatile pairs and stablecoins, aligning XRPL more closely with competitors like Ethereum and Solana in DeFi infrastructure.

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