TL;DR
- XRP Ledger activated PermissionDelegationV1_1, an upgrade that allows transactions to be authorized through secondary accounts without sharing primary keys.
- Businesses can separate payment and compliance responsibilities while keeping the keys controlling their funds offline.
- The network continues to warn users about the PaymentBurn permission, which could allow unauthorized token issuance under certain conditions.
XRP Ledger activated the PermissionDelegationV1_1 upgrade, allowing account holders to delegate specific operations to other addresses without sharing their primary private keys. The feature went live on October 8, according to XRPL Dashboard.
The upgrade is primarily aimed at banks, stablecoin issuers, and companies managing tokenized assets. These organizations can distribute responsibilities across different accounts without granting full access to their funds.
XRP Ledger Allows Businesses to Separate Operations and Protect Primary Keys
The new feature ensures that a secondary account can perform only the operations authorized by its owner. For example, a stablecoin issuer can delegate customer approvals to a compliance account while keeping its primary keys disconnected from the internet.
Each delegated account can receive up to 10 permissions, which restrict the operations it can perform but do not automatically impose limits on transaction amounts. The account owner can modify or revoke these authorizations.
The upgrade required support from more than 80% of trusted validators for two consecutive weeks. With a list of 35 validators, at least 29 needed to support it. In September, the approval countdown had to restart after support fell below the required threshold.
According to an Evernorth report, XRP Ledger recorded an average of $3.72 billion in tokenized assets and $539 million in RLUSD, Ripple’s stablecoin, during the second quarter.
Security Warning Remains in Place for PaymentBurn
XRP Ledger official documentation recommends not delegating the PaymentBurn permission until a separate fix is activated. Although the permission is designed to allow the destruction of tokens issued on the network, under certain conditions it could also authorize their creation. The issue does not affect XRP issuance or other specific permissions.
The fix had received 27 votes from the 35 validators, two short of the number required to begin its two-week approval period.
Developers are also investigating a bug affecting some servers that can distort validator counts when validators change a security key. A proposed solution would use permanent identifiers to prevent these errors, but it remains under review.
