RippleX Opens Validator Vote on XRP Ledger Lending Upgrade

Summary

• RippleX opened validator voting on an XRPL lending amendment requiring sustained approval and activation alongside two other proposed network amendments.
• Closed-ended vaults establish fixed investment periods while cash-basis accounting recognizes interest income only when borrowers deliver payments to lending pools.
• XRPL AI Hub tracked XRP and RLUSD settlements alongside nearly eight million transactions, including payments from agents using AI services.

RippleX has opened validator voting on LendingProtocolV1_1, proposing changes to how XRP Ledger lending vaults manage capital and recognize interest. According to the announcement, RippleX outlined closed-ended vaults and cash-basis accounting as the amendment’s two main additions.

However, the intended lending framework requires LendingProtocolV1_1 to activate alongside LendingProtocol and SingleAssetVault before it becomes operational. These amendments provide connected functions for pooling assets, managing loans, and determining how vaults record income from borrower payments.

Opening validator voting does not activate the proposal or confirm a launch date for the network’s intended lending infrastructure. An amendment must gain support from more than 80% of trusted validators and maintain that backing for two weeks.

If support falls to 80% or below during that period, the network resets the countdown before activation can proceed. Consequently, the proposal requires sustained validator agreement rather than software availability alone.

Developers included LendingProtocolV1_1 in xrpld version 3.4.0, which they released on September 16 with support for the proposed changes. Meanwhile, LendingProtocol provides loan creation, repayment processing, default handling, and loan broker functions within the proposed architecture. SingleAssetVault supplies pools that hold one asset, including XRP, trust line-issued tokens, or Multi-Purpose Tokens.

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Closed-Ended Vaults Set Capital Access and Change Interest Accounting

LendingProtocolV1_1 introduces closed-ended vaults with subscription, investment, and redemption periods that govern when depositors can move their funds.

During subscription, participants contribute assets, receive ownership shares, and retain access to withdrawals before the investment period begins. Once that period starts, the protocol blocks deposits and withdrawals while the vault makes pooled capital available for loans.

Subsequently, the redemption period allows participants to exchange their shares for their portion of the available proceeds. Vault creators establish transition dates at creation, and the protocol automatically enforces the schedule without allowing later date changes.

Additionally, the amendment restricts new loan brokers to closed-ended vaults while preserving other supported uses for open-ended asset pools. Open-ended vaults allow deposits and withdrawals at the prevailing share price without following the same fixed investment timetable.

Cash-basis accounting changes how vaults recognize interest, recording income when borrowers make payments rather than when their loans originate. Under the original model, vault accounting recorded the full scheduled interest at loan creation before borrowers delivered those payments.

The revised approach therefore ties interest-related increases in vault assets and share prices to income the pool actually receives. Moreover, vaults created under the earlier accounting model retain that approach even if validators activate the proposed amendment.

XRP and RLUSD Support AI Agent Payments

Separately, 36crypto recently reported that XRPL AI Hub tracked settlements totaling 7,306.63 RLUSD and 6,207.40 XRP across its monitored activity. However, these totals measure different asset units, meaning they cannot establish which token accounted for a greater dollar settlement value.

XRPL AI Hub reported nearly eight million transactions through its payment infrastructure, averaging over 250,000 daily across seven days. Additionally, its live feed displayed small RLUSD payments for AI inference services, allowing agents to pay for individual service requests.

Validator voting places the lending changes before the network, with activation dependent on sustained support and the two accompanying amendments. Those requirements remain central to whether the proposed vault restrictions and accounting rules become operational on the XRP Ledger.

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