Definition and scope
How AMM Trading-Fee Voting Works addresses a distinct part of dex, amms, and native defi. See how liquidity providers influence a pool's trading fee through weighted votes.
The XRP Ledger includes exchange and liquidity functions at the protocol layer. These topics explain how order books and AMMs interact, how users express prices and limits, and where liquidity, slippage, fees, and smart operational controls matter. Protocol liquidity does not guarantee price, depth, returns, legality, or issuer performance. Examples are mechanical, not trading advice.
How it works
Liquidity providers submit AMMVote transactions for a trading fee, and the effective fee is derived from weighted votes based on LP-token holdings. The mechanism governs pool trading cost, not the network transaction cost.
- AMMVote: verify this field, object, or component against the cited protocol documentation.
- TradingFee: verify this field, object, or component against the cited protocol documentation.
- VoteSlots: verify this field, object, or component against the cited protocol documentation.
- LP-token weight: verify this field, object, or component against the cited protocol documentation.
Practical example and checks
A provider reviews pool volume and risk, submits a fee vote, then reads the AMM ledger entry to see the resulting TradingFee and current VoteSlots.
For production use, preserve the exact signed or queried data, record the network and validated ledger reference, and compare the result with the current primary documentation before changing off-ledger state.
Open the related live demo or evidence lab →Limits, risks, and common confusion
Large LP holders have greater influence, and a fee change cannot guarantee volume or returns. Distinguish AMM trading fees from issuer transfer rates and XRP transaction costs.
Protocol liquidity does not guarantee price, depth, returns, legality, or issuer performance. Examples are mechanical, not trading advice.
Current network status
Enabled on XRPL Mainnet. AMM was enabled on XRPL Mainnet in feature responses from both official public servers at review time. Client and service support can still vary.
Status reviewed 2026-08-23. Amendment-dependent behavior must be rechecked against the network's live feature state before operational use.