A new draft proposal has been submitted to the XRPL Standards repository that would expand the XRP Ledger’s automated market maker by allowing liquidity pools to choose different pricing curves at creation.
The Importance of Flexibility
Titled “AMM Swappable Curves,” the proposal was opened on May 26 by Roman Thpt and Denis Angell and is currently filed as a draft amendment. It builds on XLS-30, the existing XRPL AMM standard, and introduces a pluggable curve architecture to move the XRPL AMM beyond a single constant-product model.
Under this draft, pool creators would be able to select a curve type when launching an AMM pool. The initially supported curve types would include:
- The current constant-product model;
- A concentrated liquidity model similar to Uniswap v3;
- A StableSwap-style model optimized for correlated assets such as stablecoins.
The proposal also envisions additional options in the future, including a weighted Balancer-style curve and a fully programmable smart AMM.
Motivation
The proposal aims to improve capital efficiency and market flexibility. Under the current XLS-30 design, AMM liquidity is spread across the entire price range, which can be inefficient for assets that trade within a narrow band. Concentrated liquidity allows providers to focus capital on specific price ranges, improving capital use. A StableSwap-style curve is better suited for closely pegged assets, offering tighter execution and lower slippage.
Importantly, the draft preserves backward compatibility. Existing AMM pools would continue using the current constant-product curve by default, while new curve types would use distinct ledger keys. This approach permits multiple AMM pools for the same asset pair, each operating under a different curve.
If adopted, the proposal could make XRPL’s native AMM more competitive with modern decentralized exchange designs and provide developers with more tailored tools for diverse market conditions, which is particularly valuable given crypto’s volatility.