- A key amendment for XRP has been voted in, unlocking new income opportunities.
- XRP holders have been able to earn rewards by providing liquidity to AMM pools.
- Leading players like Ripple have endorsed the AMM’s potential to boost the platform.
In a move that opens up exciting possibilities for the XRP community, a key amendment introducing an automated market maker (AMM) to the XRP Ledger (XRPL) has been successfully passed. This marks a significant milestone for the platform, paving the way for XRP holders to participate as liquidity providers and earn passive income actively.
XRP Ledger’s XLS-30D Activated
The path to approval wasn’t without its hurdles. Achieving the required 80% consensus among the decentralized Unique Node List (dUNL) validators involved a meticulous process. Ultimately, 30 out of 35 validators threw their weight behind the amendment, surpassing the threshold and demonstrating strong community support.
This included industry giants like Ripple, Bithomp, and Alloy Networks, highlighting the widespread belief in AMM’s potential. The XRPL operates under a rigorous governance model, ensuring that only thoroughly vetted changes are integrated.
This approach prioritizes security and stability, requiring amendments to secure at least 80% support for two weeks before implementation. With the consensus threshold now met, the XLS-30D amendment is scheduled to be deployed on the mainnet on February 14th, marking a significant date for the XRP community.
Passive Income on XRPL?
Initial concerns regarding potential risks like frontrunning and market manipulation were voiced within the community. However, validators emphasized the importance of a deliberate approach to governance, prioritizing security and stability.
XRPL Labs initially exercised caution, requesting additional time for evaluation. After careful assessment, including monitoring the performance of the latest Rippled version, they ultimately cast their votes in favor, contributing to the successful consensus.
The successful passage of the amendment marks a new chapter for XRP holders. They can now actively participate in the XRPL ecosystem by providing liquidity to AMM pools. This development enhances the ledger’s functionality and empowers users to generate passive income through their participation.
On the Flipside
- While AMMs offer exciting possibilities, the specific implementation of the XRPL is new and untested. Its long-term impact on stability and security remains to be seen.
- Risk: While earning passive income sounds attractive, participating in AMMs carries inherent risks. Users should carefully assess these risks before committing funds.
Why This Matters
This development unlocks exciting possibilities for XRP holders, enabling them to participate as liquidity providers and earn passive income. It also enhances the XRPL’s functionality and empowers users, marking a significant milestone for the platform.
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