XRPL AMM draft highlights flash-loan resistance after $600M in recent DeFi exploits

A draft XRPL AMM amendment says flash loan attacks are structurally impossible on the network because transactions are atomic and cannot chain composable intra-transaction calls. That matters after Thorchain's roughly $10.8M May 15 exploit and more than $600M in April losses tied to Drift and KelpDAO, while cross-chain bridges have lost over $2.8B since 2021, per Chainalysis. The tradeoff is real: XRPL gives up Ethereum-style flash-loan composability for arbitrage, liquidations, and collateral swaps, but if the AMM upgrade lands into a $3B tokenized RWA base, exploit resistance becomes part of its institutional DeFi pitch.

TLDR by @Benthic

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