An amendment under review by trusted validators could introduce a significant new financial tool to the XRP Ledger, enabling native borrowing of RLUSD stablecoin against XRP. The proposed amendment, called Permission Delegation and established on the XLS-75 standard, would allow XRP Ledger accounts to delegate transaction permissions without sharing signing keys.
Flare Network’s Vision for RLUSD on XRPL
Hugo Philion, co-founder of Flare Network—a blockchain network focused on smart contract interoperability—outlined a scenario where users could borrow RLUSD, a decentralized USD-pegged stablecoin, directly against their XRP. He proposed using Flare’s smart account technology so that RLUSD would be delivered on the XRP Ledger itself, rather than requiring users to move assets to other blockchains or exchanges.
For this feature to become a reality, the Wormhole bridge for RLUSD must be activated, and this process depends on validators approving the Permission Delegation amendment. Flare Network is known for facilitating interoperability between blockchains, aiming to expand DeFi access on networks such as XRP Ledger.
Mini dictionary: Wormhole bridge, a cross-chain protocol that enables asset transfers between different blockchains, allowing tokens like RLUSD to move between Flare Network and the XRP Ledger.
Philion stressed his ambition for users to directly borrow RLUSD using their XRP holdings via Flare smart accounts, receiving those funds natively on the XRP Ledger. He emphasized that for this to be achieved, both the Wormhole bridge for RLUSD and the Permission Delegation amendment must be in place.
Validator Voting Progress
The amendment vote commenced with the launch of XRP Ledger’s version 3.3.0 on August 12, 2026. Data from XRPScan as of September 16 indicate that 23 out of 35 trusted validators have expressed support for the change, equating to a consensus rate of nearly 66%. The amendment will require at least 29 affirmative votes, representing over 80% validator approval, maintained over a two-week window for activation. Consequently, six more validators are needed before the amendment can be implemented.
The validator voting chart highlights gradual and steady growth in support, rising from zero at launch to the current levels, with the pace of adoption accelerating recently. While the outcome remains uncertain, the trend points towards broader acceptance.
| Requirement | Current Support | Needed for Activation |
|---|---|---|
| Total Validators | 35 | 35 |
| Votes in Favor | 23 | 29 |
| Consensus (%) | 65.71% | 80%+ |
Potential Impact on XRP Utility
If enacted, Permission Delegation would for the first time allow XRP holders to borrow RLUSD against their assets without leaving the strict confines of the XRP Ledger. At present, users seeking such liquidity need to rely on third-party exchanges or external protocols. Flare’s collaboration and the introduction of the Wormhole bridge infrastructure aim to address this limitation and promote XRPL-native lending.
Enabling on-chain collateralized borrowing is expected to appeal to institutions looking to deploy capital efficiently as well as retail holders seeking liquidity without sacrificing their XRP positions. This broader access to liquidity could attract new participants and increase the appeal of holding XRP within the ecosystem.
Bringing new financial tools such as on-chain RLUSD borrowing to the XRP Ledger strengthens its overall utility and encourages broader adoption by both individual and institutional participants.
By enhancing the productive use of XRP as collateral, the amendment and accompanying infrastructure could create fresh demand within the network. Supporters argue that such developments often correlate with heightened interest and potential price gains for the underlying token.
Interim Solutions and Outlook
While the full integration awaits validator consensus, Philion highlighted that Flare is working on a temporary solution. Until the Wormhole bridge is fully operational, users will be able to receive borrowed RLUSD credits to their exchange accounts rather than directly to their XRPL addresses. The ultimate goal remains for validators to cross the 80% approval threshold, unlocking the envisioned cross-chain borrowing capabilities.
No timeline has been set for when the final votes may be cast, but the amendment’s gradual progress is being closely watched within the broader XRP and Flare communities.
