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XRPL Foundation Publishes Draft AMM v2 Adding StableSwap and Concentrated Liquidity

Validator approval would turn the draft into a protocol change meant to cut slippage for stablecoins and tokenized real‑world assets by letting pools use specialized pricing curves.

Overview

  • The XRPL Foundation published the AMM Swappable Curves draft on Tuesday, May 26, proposing three initial curve types — constant product, concentrated liquidity, and StableSwap — with a reserved programmable Smart AMM for later.
  • Under the design pool creators would pick a curve when they create a pool and that curve would remain locked for the pool’s lifetime, while existing XLS‑30 constant‑product pools would stay unchanged and require no forced migration.
  • Concentrated liquidity concentrates capital into narrow price ranges to boost usable depth per dollar and StableSwap flattens pricing near a peg to let large trades execute with much lower slippage, which suits stablecoin pairs and tokenized assets.
  • The change is a ledger‑level amendment that must win a validator supermajority vote over the XRPL amendment window before it can activate, so timing is uncertain and approval is not guaranteed.
  • If approved the upgrade could make XRPL more attractive for institutional tokenization flows by improving on‑chain trading efficiency for over $3 billion of tokenized assets already on the ledger and by enabling multiple pool types per asset pair for better routing.