Crypto analytics firm Santiment has recently rolled out an array of free metrics for the XRP Ledger (XRPL) aiming to be a comprehensive data source for the platform. These metrics cover a wide range of on-chain, social, and developmental indicators, and are even utilized by Ripple itself. The announcement also hinted at the firm’s plans to incorporate metrics related to the anticipated XLS-30 Automated Market Maker (AMM) upon its launch.
The XLS-30 proposal, last updated on August 4, 2023, by Dr. Aanchal Malhotra, Head of Research at RippleX, and David Schwartz, CTO at Ripple, aims to introduce non-custodial AMMs as a native feature on the XRPL decentralized exchange (DeX). The proposal outlines a unique mechanism that allows liquidity providers to earn a significant share of profits that would typically go to arbitrageurs. This is achieved by continuously auctioning off trading advantages to arbitrageurs and charging them fees, which are then distributed to liquidity providers.
The AMM instances in the XLS-30 proposal are designed to charge a spread on trades that alter the token ratios in their pools. These trading fees are added to the capital pool of the AMM instance, thereby increasing returns for liquidity providers. Additionally, governance rights within the AMM instances are granted to the largest shareholders, enabling them to vote on the trading fees charged by the instance.
The XLS-30 proposal also aims for seamless interaction between XRPL’s AMM-based and limit order book (LOB)-based DeX. This ensures that users have access to all order flows and liquidity on both platforms. The payment and order placement mechanisms will automatically determine the most favorable price for users, considering paths with both order books and AMMs.
“rippled” is the open-source software that runs the XRP Ledger. The XLS-30 feature is expected to be part of the rippled software’s 1.12 release, scheduled for September 11, 2023. However, its inclusion will only be confirmed in the final release and must be approved by all active XRPL-UNL validators before being enacted on the XRPL blockchain.
Santiment’s upcoming AMM-related metrics aim to offer cutting-edge, free research tools that align with the advancements proposed in XLS-30, reaffirming the platform’s commitment to providing transparent and comprehensive data.
Currently, Santiment offers six XRPL chain metrics: two holder metrics (“Number of accounts” and “Number of new accounts created“) and four activity metrics (“DEX Volume in USD“, “Number of transactions“, “Number of assets issued“, and “Number of active trustlines“).
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