XRP Ledger Proposes XLS-34d Amendment; Enhancing Non-XRP Native Assets

• The XRP Ledger has proposed a new amendment to its system with the code XLS-34d.
• The amendment will make it possible to use Trustline balances on Escrows and PayChannels and improve the capabilities of non-XRP native XRPL assets.
• It will also allow token issuers to retain authorization control of their assets.

The XRP Ledger, an open-source, decentralized, and permissionless network, facilitates several payments-related applications such as DeFi, micropayments, and even NFTs. Over the years, its native token XRP has grown to be among the top in the crypto space. As a result, the XRP Ledger has recently proposed a new amendment for implementation on the ledger. Denis Angeli is the contributor and proposer of the recent amendment tagged with the code XLS-34d.

The proposal’s details suggest several changes to the structural facilities of the XRPL ecosystem. These changes are supposed to improve the capabilities and functionalities of non-XRP native XRPL assets. Specifically, the amendment will change the XRP ledger transactions, objects, and even RPC methods to make it possible to use Trustline balances on Escrows and PayChannels.

At present, the network supports different on-ledger negotiable instruments such as Checks, Escrows, and PayChannels. However, the Escrows and PayChannels are only used for the native XRP assets. It is only the Check that allows the use of Trustline balances. With the changes included in the XLS-34d proposal, the escrow accounts would include all assets developed on the XRP ecosystem. This will make it possible for a project team to lock some tokens in a Trustline balance and monitor the token supply.

Moreover, the amendment will allow token issuers to retain authorization control of their assets. This is extremely important because it ensures that the assets remain under the control of the original issuer rather than third-party entities. Furthermore, the changes will make it easier to trace and audit the transactions associated with a particular asset. Additionally, it will enable token issuers to set transfer restrictions on their assets, thus ensuring that only authorized users are able to make transfers.

Overall, the XLS-34d proposal is expected to significantly improve the capabilities of the XRP Ledger and its native XRP token. It will enable the use of Trustline balances on Escrows and PayChannels and also allow token issuers to retain authorization control of their assets. Ultimately, these changes are expected to make the XRP Ledger and its native XRP token more attractive to users and investors.