David Vance

April

Gary

<div class="cryptonews">
 <p class="is-style-lead">Ripple chief technology officer David Schwartz advocates for integrating an automated market maker (AMM) feature with the XRP Ledger (XRPL) to enable the creation of decentralized exchanges (DEXs) on the XRPL.&nbsp;</p>
 <p>Schwartz described AMMs as a fascinating aspect of decentralized finance in a post on social media. However, implementing this feature should only proceed with the consensus of the XRPL community, he explained.</p>
 <p>The XRPL operates as a decentralized blockchain network, facilitating efficient and secure transactions for the XRP cryptocurrency.</p>
 <p>Unlike conventional systems, XRPL employs the Ripple Protocol Consensus Algorithm (RPCA) for consensus, ensuring quick transaction processing and scalability.</p>
 <p>It provides a practical foundation for developing decentralized applications (dApps), while the AMM is a decentralized exchange solution that relies on a mathematical formula to establish asset prices.&nbsp;This formula considers the supply and demand of the assets involved, adjusting prices accordingly.</p>
 <div class="cn-block-related-link">
  <svg class="cn-block-related-link__icon icon" aria-hidden="true"><use xlink:href="#"></use>
  </svg> <span class="cn-block-related-link__prefix"> You might also like: </span> SEC and Ripple seek extension for filing unredacted cross-motions
 </div>
 <figure class="wp-block-embed is-type-rich is-provider-twitter wp-block-embed-twitter">
  <div class="wp-block-embed__wrapper">
   <blockquote class="twitter-tweet" data-width="550" data-dnt="true">
    <p lang="en" dir="ltr">AMMs are the weird defi trick everyone's talking about.</p>— David "JoelKatz" Schwartz (@JoelKatz) October 6, 2023
   </blockquote>
  </div>
 </figure>
 <p>When asked about the timeline for AMMs becoming active on XRPL after governance voting by a community member, Schwartz responded that if the majority supports the amendment, the changes could be implemented in as little as two weeks.</p>
 <p>Schwartz highlighted that, as far as he knows, no validators currently support the majority vote. The AMM feature was introduced with the release of Ripple version 1.12.0, which also introduced the potential clawback feature.&nbsp;</p>
 <p>The team says that incorporating an AMM doesn’t just involve adding a new trading engine; it will also facilitate <a rel="noopener noreferrer nofollow" title="integration" href="https://thebittimes.com/tag/integration.html">integration</a> with the XRPL decentralized exchange.</p>
 <figure class="wp-block-embed is-type-rich is-provider-twitter wp-block-embed-twitter">
  <div class="wp-block-embed__wrapper">
   <blockquote class="twitter-tweet" data-width="550" data-dnt="true">
    <p lang="en" dir="ltr">In general though, validators shouldn't vote YES individually. The community should make a decision and then validators should nearly all vote YES when they believe the community is on board and enough nodes support the change.<br><br>The amendment voting process is intended to…</p>— David "JoelKatz" Schwartz (@JoelKatz) October 6, 2023
   </blockquote>
  </div>
 </figure>
 <p>Despite the feature’s importance, Schwartz cautioned validators against voting independently for these changes. He stressed the need for the community to reach a consensus first. Validators should vote ‘YES,’ overwhelmingly when they observe that the community agrees and sufficient nodes endorse the adjustment.</p>
 <p>In April, Schwartz also urged caution for those considering investing in XRP through an AMM. He outlined three key reasons for this caution.&nbsp;</p>
 <p>Firstly, Schwartz highlighted the exposure to other digital assets within the AMM, explaining that price fluctuations of one asset can impact the value of all other assets in the pool, including XRP.&nbsp;</p>
 <p>While acknowledging the usefulness of AMMs for trading, Schwartz emphasized the need for investors to thoroughly research and understand the potential risks before choosing to hold XRP within an AMM.&nbsp;</p>
 <p>Additionally, he pointed out the limited potential for significant gains as another risk. Despite AMMs providing liquidity for XRP and other tokens, there’s no guarantee of substantial price gains for XRP.</p>
 <figure class="wp-block-embed is-type-rich is-provider-twitter wp-block-embed-twitter">
  <div class="wp-block-embed__wrapper">
   <blockquote class="twitter-tweet" data-width="550" data-dnt="true">
    <p lang="en" dir="ltr">Probably between 1/3 and 1/4. There are really only three reasons not hold your XRP in an AMM:<br>1) There could be an implementation bug in the AMM code that causes you to lose money. A low risk, but non-zero. …</p>— David "JoelKatz" Schwartz (@JoelKatz) April 25, 2023
   </blockquote>
  </div>
 </figure>
 <h2 class="wp-block-heading" id="ripple-scores-another-victory-over-an-sec">Ripple scores another victory over an SEC</h2>
 <p>In related news, judge Analisa Torres has denied the U.S. Securities and Exchange Commission’s (SEC) motion to appeal its loss against Ripple Labs.</p>
 <p>The SEC sought to appeal the partial ruling in Ripple’s favor, declaring that retail XRP token sales didn’t meet the legal definition of a security.&nbsp;</p>
 <p>However, Judge Torres rejected the SEC’s motion, stating they failed to prove controlling legal questions or substantial differences of opinion. A trial date is set for April 23, 2024. Ripple execs and the Gary Gensler-led SEC will meet in person for at least an hour to discuss a settlement before the final pretrial conference.</p>
 <p>Judge Torres had found the SEC’s appeal wouldn’t significantly expedite the case’s resolution. This ruling should mark a crucial win for Ripple, reaffirming the validity of the previous ruling.</p>
 <figure class="wp-block-embed is-type-rich is-provider-twitter wp-block-embed-twitter">
  <div class="wp-block-embed__wrapper">
   <blockquote class="twitter-tweet" data-width="550" data-dnt="true">
    <p lang="en" dir="ltr">#XRPCommunity #SECGov v. #Ripple #XRP BREAKING: Judge Torres has DENIED the SEC’s Motion to File an Interlocutory Appeal. https://t.co/czEIz93Vfn</p>— James K. Filan (@FilanLaw) October 3, 2023
   </blockquote>
  </div>
 </figure>
 <div class="cn-block-related-link">
  <svg class="cn-block-related-link__icon icon" aria-hidden="true"><use xlink:href="#"></use>
  </svg> <span class="cn-block-related-link__prefix"> Read more: </span> Judge orders Ripple and SEC to schedule possible settlement conference
 </div> <span class="google-news-banner__label">Follow Us on Google News</span>
</div>
<p>Source: <a rel="noopener noreferrer nofollow" target="_blank" href="https://thebittimes.com/ripple-cto-urges-amm-integration-into-xrp-ledger-tbt65559.html">https://thebittimes.com/ripple-cto-urges-amm-integration-into-xrp-ledger-tbt65559.html</a></p>

Ripple CTO urges AMM integration into XRP Ledger

Table of Contents

TheBitTimes

Other articles published on Oct 8, 2023

OKX Makes Key Amendments to Comply With UK FCA Regulations

Quant Hovers Over $85, Bears Threaten

Bitcoin Whale Resurfaces with $140M Wallet After 3 Quiet Years

FTX Hacker Sends Ethereum Worth $147,000,000 to THORChain – Here’s How Much ETH They Still Own

BRICS Could Seriously Challenge US Dollar if Sanctions Are Lifted

Can Firewood Propel Avalanche (AVAX) to $20? AI Altcoin Draws Major Whale Interest

Join our free newsletter for daily crypto updates!