Automated Market Maker on the XRP Ledger
Ethereum-based decentralised exchanges suffer from high transaction costs and price synchronisation challenges that worsen during market volatility. This comparative study uses agent-based simulations with real market data to pit the XRP Ledger's protocol-level AMM-DEX against Ethereum's smart contract implementations like Uniswap V2.
Results show XRPL-AMM-DEX achieves superior price synchronisation, reduced slippage, and improved returns due to lower fees and shorter block times, with the integrated Continuous Auction Mechanism further mitigating impermanent loss for liquidity providers.
