The XRP Ledger (XRPL) ecosystem has achieved a significant milestone with over 10 million XRP locked in automated market maker (AMM) pools, according to data from XRP Scan. While the current figure sits slightly lower at 9.6 million XRP, this development signifies a major step forward for XRPL’s journey towards a more decentralized future.
Launched in late March, AMM pools on XRPL have witnessed impressive growth. The total locked coin has skyrocketed from a mere 325,983 tokens to nearly 10 million. This locked XRP is distributed across a network of 593 pools, with new ones emerging constantly.
The Magnetic (MAG) token pool leads the pack with over 3.6 million coin locked, followed closely by the xGO pool at 921,270 XRP. Interestingly, the third-largest pool, holding 651,269 XRP, is associated with a blackholed account named CRYPTO, which cannot perform transactions or issue new tokens.
This surge in locked coins within AMM pools reflects a growing appetite for decentralized exchanges (DEXs) within the coin community. AMMs, powered by smart contracts, play a pivotal role in ensuring liquidity and enabling smooth asset exchange through mathematical algorithms.
The rise of AMMs on XRPL presents several advantages. Firstly, it fosters a more decentralized trading environment, reducing reliance on traditional order book exchanges. Secondly, AMMs enhance liquidity by creating pools where users can easily swap assets. This not only benefits traders but also fosters the growth of new token projects on the XRPL.
While the current dip in locked coins from the 10 million peak might suggest a slight correction, the overall trend indicates a promising future for AMMs within the XRPL ecosystem. As more users explore the benefits of DEXs and new AMM pools emerge, we can expect the total locked XRP to continue its upward trajectory, solidifying XRPL’s position as a major player in the decentralized finance (DeFi) space.
