The XRP Ledger’s automated market maker (AMM) has experienced a consistent upward trend in total value locked (TVL), surpassing $7.7 million as the long-term outlook remains bullish.
The AMM not only supports XRP but also other coins like USDC, Bitcoin (BTC), Sologenic (SOLO), MAG, and USD.
The Ripple network continues to demonstrate impressive growth, largely driven by the expansion of the XRP Ledger ecosystem. Recent data reveals that the TVL of the AMM has increased by 51% in just over two weeks, reaching over 15 million XRP tokens.
Notably, the TVL witnessed a daily increase of around 1.3 million XRP. This followed a milestone of 1.1 million tokens added in just three days, which indicates a rapidly growing interest in the AMM.
Current data shows that the total TVL stands at 15.6 million XRP, equivalent to $7.7 million, locked in various XRPL AMM pools. It’s important to note that this figure represents the total value of different cryptocurrencies locked in these AMMs, not just XRP. This includes USDC, Bitcoin (BTC), Sologenic (SOLO), MAG, and USD. According to XRP explorers, the pure XRP tokens in the AMM pools amount to approximately 7.83 million.
The substantial growth within a short period of time signifies renewed interest, although the main driving factor behind this surge remains unidentified. Neil Hartner, a software engineer at Ripple Payments, noted that the recent TVL growth has been primarily fueled by the Magnetic X (MAG) pool. This pool currently leads with a TVL of about 4.8 million XRP, reflecting a 35% increase from the previous day. Additionally, it offers an Annual Percentage Yield (APY) of 9.58%, slightly lower than its closest competitor, the XGO pool, which has a TVL of 1.8 million XRP.
Despite this impressive growth, XRP prices continue to struggle. As of now, XRP is trading at $0.4783 after experiencing a 2% drop over the weekend.
To enhance transparency, the XRP community recently unveiled key details regarding the supply and distribution outlined by Ripple in 2014. The disclosed document reveals that the company intends to retain 25 billion XRP (25% of the total supply) to fund operations and generate profits. The remaining 75 billion XRP will be distributed to the market to incentivize participants such as market makers, consumers, and gateways to utilize the XRP Ledger and ecosystem dApps.
The ongoing Ripple v. SEC case continues to significantly impact the trajectory of the XRP price. Legal experts predict a favorable outcome for Ripple, and recent developments surrounding the case support this view. On June 20, Ripple Labs Inc. achieved a significant victory in a federal class action as Judge Phyllis J. Hamilton granted summary judgment to dismiss both federal and state class claims alleging that XRP was sold as an unregistered security.