Measuring Order Book vs AMM Share on the XRP Ledger
When the AMM amendment activated on the XRP Ledger in 2024, the expectation was that liquidity would migrate into pools the way it did on every smart-contract chain before it. You do not have to speculate about whether that happened. The ledger publishes both numbers. Getting the split const { H24 } = await ( await fetch ( ' https://api.xrpl.to/v1/stats ' ) ). json (); const ob = H24 .…
The XRP Ledger's AMM amendment in 2024 saw liquidity migrate into pools, but the data shows the order book still dominates. By examining the share of the order book and Automated Market Maker (AMM) volume, we can see that 88.2% of the trade activity occurs on the order book. While the number of trades in the pool is larger, the average trade size in the order book is significantly higher.
This indicates that large orders are routed through the order book, while smaller ones prefer the pools. The XRPL's on-chain central limit order book, which has been in place since 2012, is still viable due to the low cost of canceling orders and the speed of confirmation. This demonstrates how transaction economics can impact market structure, defying the general belief that AMMs have taken over.
By analyzing the ratio of order book to AMM volume and considering the trade dynamics, users can make more informed decisions when routing orders on the XRP Ledger.
Written by urgent.news from Dev.to's reporting — not their text. Machine-written — may contain errors; check the original before relying on it.
