Ripple Chief Engineer Neil Hartner deciphers the truly special feature of XRP and the XRP Ledger. Hidden power of XRP currency revealed. Today in Pooyanmusic we are going to look at the hidden power behind Ripple.
In a recent revelation, Neil Hartner, Senior Software Engineer at Ripple, has unveiled the hidden superpower of the XRP Ledger (XRPL). A power that may revolutionize the world of decentralized finance. Hartner’s discovery centers around the concept of one-way deposits in XRPL Automated Market Makers (AMM).
This innovation allows users to deposit liquidity into pools even when they are unable to hold one of the required assets for a particular pool due to limited access. Hartner said that as long as people hold one of the assets, they can make one-way deposits and withdrawals from the pools, which are limited to only the assets they are allowed to hold.
Nick Bogalis, Ripple’s former director of engineering, also joined the discussion. He revealed that one-sided deposits were a feature he supported early in development. Bogalis expressed his satisfaction that this concept became the final version of XRPL.
Discussions between XRP enthusiasts continued around the mechanism of one-way deposits and withdrawals. Conversations with users seeking to understand how fees are charged and whether the process involves automatic conversion of assets.
Hartner clarified that one-way deposits do not require the sale of assets. Instead, they change the pool’s asset ratio and the effective exchange rate. This means that users can provide liquidity with an asset. Any bids in the ledger that match the new exchange rate will be automatically rebalanced by AMM during the deposit process.
This new feature is not limited to XRP pools. It extends to any collection where users own one of the assets involved. It also simplifies the provision of liquidity and enables more participants to participate in DeFi without complex trust requirements.