TVL Surpasses 7M XRP in Just 1 Month

• The XRPL Automated Market Makers have seen a marked increase in the total value locked (TVL), surpassing over 7 million XRP. 

• SOLO/XRP pool has the largest share of TVL among XRPL AMM pools, in the amount of over 1,000 000 XRP, equal to $911,600. 

The XRPL (XRP Ledger) Automated Market Makers have seen a marked increase in the total value locked (TVL), surpassing over 7 million XRP. The DeFi analytics tool DeXfi data showed that the total value locked (TVL) of the XRPL AMM space had risen exponentially in just a couple of days.

This growth vividly presents the emerging interest and adoption of DeFi activities among the XRP community, showing how much the platform has grown.

Missed to pay attention past couple days, but we were below 5M XRP in TVL in the XRPL AMM while we now get closer to 10M XRP in TVL !

More pairs, usually with XRP on one side, are contributing a lot to it as well as more inflows in larger pools. pic.twitter.com/nDHsQFBjUP

— Vet 🏴‍☠️ (@Vet_X0) April 24, 2024

The recently reported details confirm that the XRPL AMM amount locked at the time of writing is 7.3 million XRP, equivalent to around $4 million. Consequently, this influx on the network follows the previous spike in activity that had been noted, involving a total deposition of 1.513 million XRP over the past week.

These impressive numbers emphasize the continuous reshaping of DeFi on the XRP Ledger, a shift towards more action on decentralized financial services.

Dominant Pools and Assets

SOLO/XRP pool has the largest share of TVL among XRPL AMM pools, in the amount of over 1,000 000 XRP, equal to $911,600. This pool has the best yield interest rate of 2.54% per year, and the fee rate is also 0.53%. This is the highest fee rate amount among all the other pools. The USDC-XRP pool is among the highest-ranked crypto pools, and around 911,600 XRP equivalent in value was locked. These pools enable trading between different assets such as Sologenic (SOLO), USDC, Bitcoin (BTC), Coreum (CORE), and USD, thus reflecting the diversity of assets traded in the XRPL DeFi eco-system.

While the spike in TVL goes well with Ripple’s overall attempt to establish a profitable DeFi environment around XRPL, for Ripple’s XRP Ledger launch, the plans involve rolling out the native lending protocol and also offering a native stablecoin this year on the XRPL. Through such programs, Ripple demonstrates its dedication to catalyzing innovation and applying the XRP Ledger not only as a digital asset.

Cross-Chain Bridge: Unlocking New Horizons for XRPL

This news comes amid a recent announcement by David Schwartz, the Chief Technology Officer (CTO) of Ripple, at a developer summit, emphasizing the pivotal significance of an imminent cross-chain bridge for the XRP Ledger (XRPL). This development signals a crucial step forward in expanding the utility and versatility of XRPL beyond its primary function as a payments-focused platform.

⛓️🌉 XRPL ➡️ “THERE IS NO LIMIT TO SIDE CHAINS” ➡️ DAVID SCHWARTZ ON THE XLS-38 // THE CROSS-CHAIN BRIDGE” @JoelKatz @RippleXDev #XRPL #XRP

➡️ “There is no limit to side chains ! They are implemented independently from the XRPL but to work properly, especially if they chose to… https://t.co/WuKobRcjvl pic.twitter.com/9xVdGCAyGh

— XRP DROPZ (@DROPZXRP) April 22, 2024

Schwartz underscored that while XRPL excels in facilitating seamless and efficient payments, its potential for broader utility remains largely untapped. Recognizing the inherent limitations of a singular layer-1 solution to diverse user needs, Schwartz articulated the necessity of integrating additional functionalities into the XRPL ecosystem. This move aligns with the evolving demands of developers and users seeking specialized computing resources and enhanced capabilities beyond traditional payment transactions.

XRP Trading Volume Declines Despite Price Surge

Despite a notable decline in Ripple XRP’s prices, recent market data reveals a concerning decline in trading volume, prompting cautious sentiments among investors. The cryptocurrency has experienced a remarkable 30% price increase in the past week, surpassing the $0.50 mark. As of this writing, XRP is trading at $0.526 with a 24-hour decline of 5%. 

Data analysis from Santiment indicates a significant decline in XRP trading volume over the past 10 days, with only $550 million worth of XRP traded on April 23. This downward trend in trading activity and the coin’s impressive price surge have raised concerns among market participants regarding the sustainability of XRP’s current bullish momentum.