XRPLedger AMM amendment passed with majority votes, XRP holders will earn passive income on this condition


  • XRP holders will not receive income for holding the altcoin, they need to provide liquidity to the AMM for earning rewards. 
  • XRP holders that interact with the Automated Market Maker and provide their holdings to swappers, qualify for passive income. 
  • XRP price is $0.62 on Sunday, the altcoin sustained above the psychologically important level of $0.60.

Automated Market Maker (AMM) is set to debut on the XRPLedger and XRP holders will have the opportunity to provide liquidity to the AMM and earn passive income. Validators provided a clear picture of how XRP holders can earn through the AMM, and explain that simply holding the altcoin does not qualify traders for rewards or additional income.

Also read: XRP price drops alongside mass profit taking by Ripple holders

XRP holders that provide liquidity to AMMs can earn passive income

As the XRPLedger sees approval of the AMM amendment, social media platforms like X are flooded with posts claiming that XRP holders can earn passive income without ever selling their holdings. The amendment was passed with 91.43% consensus and AMMs have not been activated on the Ledger, at the time of writing. 

AMMs will likely arrive on the XRPLedger by March 22, 20:10 UTC, according to information from XRPscan. 

XRP

XRPLedger Amendment for AMMs passed 

An XRPLedger Validator on X explained that AMMs do not provide passive income for holding XRP

XRP holders need to provide liquidity to and interact with the Automated Market Maker, these XRP tokens are then bought and sold by swappers and the liquidity providers earn passive income. 

At the time of writing, XRP price is $0.62. Despite the recent correction in the altcoin’s price, it sustained above the psychologically important level of $0.60. XRP price is in an uptrend and $0.6293 and $0.6500 are two key resistances in the altcoin’s path to rally towards its 2024 peak of $0.6685. 

XRP

XRP/USDT 1-day chart 


Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers. The author will not be held responsible for information that is found at the end of links posted on this page.

If not otherwise explicitly mentioned in the body of the article, at the time of writing, the author has no position in any stock mentioned in this article and no business relationship with any company mentioned. The author has not received compensation for writing this article, other than from FXStreet.

FXStreet and the author do not provide personalized recommendations. The author makes no representations as to the accuracy, completeness, or suitability of this information. FXStreet and the author will not be liable for any errors, omissions or any losses, injuries or damages arising from this information and its display or use. Errors and omissions excepted.

The author and FXStreet are not registered investment advisors and nothing in this article is intended to be investment advice.

Recommended content


Recommended Content

Editors’ Picks

Why is Bitcoin performing better than Ethereum? ETH lags as BTC smashes new all-time high records

Why is Bitcoin performing better than Ethereum? ETH lags as BTC smashes new all-time high records

Bitcoin has outperformed Ethereum in the past two years, setting new highs while the top altcoin struggles to catch up with speed. Several experts exclusively revealed to FXStreet that Ethereum needs global recognition, a stronger narrative and increased on-chain activity for the tide to shift in its favor.

More Cryptocurrencies News
Bitcoins hits new record high above $94K, signals continuation of larger uptrend

Bitcoins hits new record high above $94K, signals continuation of larger uptrend

Bitcoin hit new record high on acceleration above 94K on Wednesday, lifted by growing expectations for more crypto-favorable conditions under incoming Trump’s administration. Break above the top of seven-day consolidation range generated initial signal of continuation of larger uptrend after bulls paused to consolidate recent strong post-US election gains.

 

More Bitcoin News
Cardano surges to over two-year high as on-chain metrics show bullish bias

Cardano surges to over two-year high as on-chain metrics show bullish bias

Cardano (ADA) price extends its bullish momentum, rallying more than 10% on Wednesday and reaching levels not seen since early May 2022. On-chain data further supports this rally as ADA’s whale transaction, trading volume, and open interest all rise, reaching record levels. 

More Cardano News
Dogecoin Price Forecast: Selling pressure drops 95% as DOGE traders target $0.50 breakout

Dogecoin Price Forecast: Selling pressure drops 95% as DOGE traders target $0.50 breakout

The Dogecoin price breached the $0.40 resistance on Monday, rebounding from a 15% pullback. On-chain transaction flows observed this week suggest DOGE could be on the verge of another leg-up toward $0.50. 

More Crypto News
Bitcoin: New high of $100K or correction to $78K?

Bitcoin: New high of $100K or correction to $78K?

Bitcoin surged to a new all-time high of $93,265 in the first half of the week, followed by a slight decline in the latter half. Reports highlight that Bitcoin’s current level is still not overvalued and could target levels above $100,000 in the coming weeks.

Read full analysis
Best Forex Brokers with Low Spreads

Best Forex Brokers with Low Spreads

VERIFIED Low spreads are crucial for reducing trading costs. Explore top Forex brokers offering competitive spreads and high leverage. Compare options for EUR/USD, GBP/USD, USD/JPY, and Gold.

Read More

BTC

ETH

XRP