# XRPL CLOB Trading volume Methodology

## 1. Overview

Trading volume measures the total USD value of trades executed on XRPL CLOB, the central limit order book native to XRP Ledger. This metric captures spot trading activity across all asset pairs traded through order book mechanisms. Volume is calculated from executed fills where orders are matched on-chain, converted to USD using end-of-day price feeds.

## 2. Data sources

- **Blockchain events**: Order fill data from XRPL's on-chain order book (extracted from `Payment` and `OfferCreate` transactions), covering XRP Ledger mainnet
- **External data**: End-of-day price feeds for traded assets
- **Exclusions**: Token denylist filtering wash-traded and pump-and-dump assets (FCK, YOU, CML tokens)

## 3. Step-by-step calculation

### Component A: Fill extraction

- **Purpose**: Capture executed order book trades between asset pairs
- **Logic**: Parse order fills from `Payment` transactions (auto-bridged paths) and `OfferCreate` transactions (routed through the DEX engine) on XRP Ledger. Each fill records the two assets traded and quantities exchanged on both sides of the pair. Fills are identified by transaction hash and timestamped to day granularity with UTC boundaries.
- **Key fields**: `transaction_hash` (trade identification), `token_0` and `token_1` (asset pair), `amount_0` and `amount_1` (quantities exchanged)

### Component B: Token filtering

- **Purpose**: Exclude artificially inflated volume from manipulated assets
- **Logic**: Apply denylist to remove fills involving wash-traded tokens. Tokens are excluded when either side of the pair matches denylist entries. The denylist targets assets with documented wash trading activity (FCK and YOU tokens producing billions in fake daily volume in March-April 2017) and pump-and-dump schemes (CML token inflated to $154M volume during December 2024 price collapse).

### Component C: USD conversion

- **Purpose**: Normalize native asset quantities to comparable USD values
- **Logic**: Join fill quantities to end-of-day price feeds for both assets in each pair. Amounts are normalized by decimal precision and multiplied by corresponding asset prices. For each trade, the lower of the two USD-converted sides is selected to avoid double-counting volume. Only fills with positive USD values are retained after conversion.

*This methodology was automatically generated by Token Terminal's methodology analyzer.*

Total value of spot trades executed on the exchange.

Trading volume

Exchanges (DEX)

Through the use of blockchain and modern APIs, Ripple enables financial institutions who are part of the network, RippleNet, to send money globally, instantly, reliably and for fractions of a penny. RippleNet is built on top of Ripple’s consensus ledger, XRP Ledger (XRPL).

Ripple is the leading provider of crypto-enabled solutions for businesses. Ripple was founded by Chris Larsen and Jed McCaleb and launched in 2012 (previously OpenCoin).

XRP tokenholders own and govern Ripple's consensus ledger 'XRP Ledger' (XRPL). Ripple's investors include a16z, Pantera Capital, Route 66 Ventures, etc.