XRP Ledger Experiences Tremendous Growth, with AMM TVL Surging 51% to Over 15 Million XRP in Just 17 Days
The automated market makers (AMMs) on the XRP Ledger have been witnessing a steady surge in total value locked (TVL), reaching an impressive 15.6 million XRP.
According to a recent report by DeXfi, an analytics platform, the TVL on XRPL AMMs has surpassed 15.4 million XRP, a figure that caught significant attention in the XRP community.
This update comes hot on the heels of another report yesterday, which indicated a TVL of 14.1 million XRP. Notably, the TVL increased by 1.1 million XRP just three days ago, showcasing the rapid growth of the AMMs.
The latest update reveals that an additional 1.3 million XRP was locked in AMMs within a single day. To further demonstrate the surge, just four hours after the disclosure, an extra 200,000 XRP was added to the TVL. As of now, the TVL stands at 15.6 million XRP, which is equivalent to approximately $7.7 million, locked in various XRPL AMM pools.
In comparison, on June 3, The Crypto Basic reported a TVL of 10.3 million XRP on XRPL. Within seventeen days, this figure rose by 5.3 million XRP, representing a remarkable growth of 51.45%. It is worth noting that it took six weeks to achieve a similar growth of 2.9 million XRP, from 7.4 million XRP on April 24 to 10.3 million XRP on June 3.
The rapid expansion of the XRP TVL raises the question of what factors are driving this growth. Neil Hartner, a software engineer at Ripple Payments, pointed out that the recent surge in TVL is mainly attributed to the Magnetic X (MAG) pool, which currently holds around 4.8 million XRP, marking a 35% increase compared to the previous day. The MAG pool offers an Annual Percentage Yield (APY) of 9.58%, slightly lower than the XGO pool, its closest competitor with a TVL of 1.8 million XRP.
It is crucial to note that the 15.6 million XRP represents the total value of various cryptocurrencies locked within XRPL AMMs, not just XRP alone. These include USDC, Bitcoin (BTC), Sologenic (SOLO), MAG, and USD. However, pure XRP tokens in the AMM pools amount to approximately 7.83 million XRP, as per data from XRP explorers.
Overall, the explosive growth of the XRP Ledger and the increasing TVL in AMMs signify a growing interest and confidence in the XRP ecosystem, with factors like the MAG pool contributing significantly to this surge.