Recent XRP Ledger Pools Account for 97.24% of AMM Volume
Written with artificial intelligence.
Two recently established token pools on the XRP Ledger have surged to dominate automated market maker (AMM) volume, making up 97.24% of it with a reported total of 2.8 billion. However, both pools lack XRP and have raised concerns about liquidity and trading validity.
Overview of the New Pools
Two token pools, created on September 21, dominate the XRP Ledger's AMM volume, accounting for 97.24% of the total volume reported in the last week. Despite recording 185 trades, the pools have raised questions about the validity of their reported trading figures since neither contains any XRP.
Volume Breakdown
According to XRPL.to, the total seven-day volume reached 2.82069 billion, with the XPM/TIX pool contributing 1.68 billion and the RLUSD/TIX pool adding over 1 billion. These figures reflect the provider's own counts and not the settled value of trades. As of September 24, there had been no trades in either pool within the last 24 hours, suggesting low trading activity.
Liquidity Concerns
Liquidity issues are evident, with the XPM/TIX pool holding only 1,545 XPM and 9.69 million TIX, while the RLUSD/TIX pool contains negligible amounts of both assets. This raises red flags regarding the pools' ability to facilitate significant trades. A recent validated payment on September 22 exemplified this, where 5.89 XPM resulted in just 0.030177 RLUSD, highlighting the disparity between reported trade volumes and actual trading activity.
Understanding the Metrics
Under XRPL's AMM rules, trades can occur between two issued assets without involving XRP, although XRP network fees still apply. This means the current activity in the pools does not necessarily indicate increased demand for XRP itself. Moreover, different dashboards, such as DefiLlama, report varying volumes based on XRP-pair and AMM metrics, making it challenging to compare figures directly.
Conclusion
For XRP holders, the focus should remain on pools that genuinely hold XRP and demonstrate consistent trading activity backed by verifiable reserves. Recent changes in the market show XRP's value has increased by 1.28%, but this rise appears unrelated to the new pools and their low liquidity.