Ripple node operators and validators have been urged to upgrade to the latest version of the reference server implementation of the XRP Ledger protocol (XRPL). The version 2.1.1 update introduces a new amendment dubbed ‘fixAMMOverflowOffer’ that addresses a bug resulting in issues during the integration of the Automated Market Maker (AMM) vulnerability with the payment engine. 

According to RippleX, the development arm of Ripple, failing to upgrade to the latest version would result in the validators and nodes being amendment blocked. The update comes in as the network is preparing to deploy a bug fix that will be implemented on XRPL on April 11. 

The fix was developed as a response to a critical bug discovered on XRPL on March 23, a day after the AMM pools went live. The bug caused some transactions on these pools to be processed incorrectly.

AMM pools are sources of liquidity for decentralized exchanges and protocols. These pools allow users to trade assets without using an order book. As such, traders can swap assets with the pool directly without having to rely on another trader.

As a result of the bug, users were requested to pause all deposits into these XRPL AMM pools. Several DeFi projects utilizing these pools also suspended their connections with the network. While several users expressed concerns over the network’s reliability, XRPL developers were swift to work on a fix. 

According to a blog from Ripple developers, the bug resulted from an error in how the XRPL’s payment engine interacts with order books and AMM pools. The developers managed to recreate the bug in a test environment, allowing them to develop a fix.

However, since the payment engine was a core part of XRPL’s protocol layer, the bug fix required over 80% consensus to be deployed. The fix went live for review and voting on Github on March 27. By March 29, the fix had garnered the required consensus and was scheduled for deployment. As of April 4, 49% of validators had updated to the latest version of the server implementation.