Ripple’s XRP Ledger’s Game-Changing Upgrade: Turn XRP into Passive Income with AMM

Ripple’s XRP Ledger introduces an Automated Market Maker (AMM) amendment, enhancing its functionality and integration with the existing decentralized exchange. XRP holders can now generate passive income through the new AMM feature by providing liquidity and voting on trading fees. The recent amendment to the XRP Ledger, known as the Automated Market Maker (AMM) Amendment, [...]

Jan 25, 2024 - 12:10
 0
Ripple’s XRP Ledger’s Game-Changing Upgrade: Turn XRP into Passive Income with AMM
Ripple-XRP-silver-coins-with-a-gray-background
  • Ripple’s XRP Ledger introduces an Automated Market Maker (AMM) amendment, enhancing its functionality and integration with the existing decentralized exchange.
  • XRP holders can now generate passive income through the new AMM feature by providing liquidity and voting on trading fees.

The recent amendment to the XRP Ledger, known as the Automated Market Maker (AMM) Amendment, represents a significant upgrade by integrating automated market maker functionality directly into the XRP Ledger. This integration is seamlessly connected with Ripple’s existing decentralized exchange, offering new opportunities for XRP holders.

In a recent tweet, Panos Mekras, the founder of Anodos Finance, shared his insights on the growing support for the XLS-30D AMM Amendment among XRPL validators. At the time of his report, 20 validators had voted in favor of the amendment, achieving a notable consensus of 57.14%.

One of the innovative features of this amendment is that each AMM instance will have a dedicated account to safeguard its assets. This setup allows the issuance of liquidity pool (LP) tokens to liquidity providers, which are allocated in proportion to their contributions. Additionally, XRP liquidity providers now have the privilege to vote on the AMM’s trading fee, influenced by their share of LP assets.

Elaborating further, I have discussed in my tweet how this amendment can be leveraged to convert XRP holdings into a source of passive income. The XLS-30D AMM Amendment proposes a pivotal update to the XRP Ledger protocol, aiming to integrate sophisticated automated market maker functionalities.

Regarding the market performance, the latest data as shown below indicates that XRP is currently trading at approximately $0.5132.

This figure reflects a minor decline of 0.70% over the last 24 hours, following an 8.78% decrease over the preceding week.

What's Your Reaction?

like

dislike

love

funny

angry

sad

wow

CryptoFortress Disclosure: This article does not represent investment advice. The content and materials featured on this page are for educational purposes only.