XRP Ledger’s Decentralized Exchange Sees Significant Growth
In January, the swap volumes on the XRP Ledger’s decentralized exchange (DEX) surpassed an impressive $400 million, highlighting the platform’s increasing adoption among larger market participants. During a community call on Wednesday, Ripple Labs CEO Brad Garlinghouse emphasized this milestone, noting that the average daily trading volume for this month has exceeded $17 million, accumulating over $1 billion since the DEX’s launch in 2024.
Garlinghouse attributed the rapid growth of the XRP Ledger’s DEX as one of the pivotal factors that could mark 2024 as “one of the most monumental years for Ripple.” He pointed out the “early but promising traction” of Ripple’s US dollar-pegged stablecoin, RLUSD, along with the ongoing filings for proposed XRP exchange-traded funds (ETFs), which are generating interest in the crypto community.
Since November, there has been a surge of speculative optimism among traders, fueled by the belief that a crypto-friendly administration under a potential Trump presidency could favor tokens and products associated with U.S.-based companies, including Ripple and its closely related asset, XRP.
Unlike many other blockchain-based DEXs, such as Uniswap or Pancakeswap, which often operate as separate applications or smart contracts layered on top of existing blockchains, the XRP Ledger’s DEX is integrated directly into the blockchain’s core functionality. This unique structure allows for a more seamless trading experience. The DEX operates on an order book system, enabling users to place both limit and market orders for XRP as well as a variety of other assets issued on the XRP Ledger. These assets can range from tokens to IOUs representing different currencies or commodities.
