XRP Ledger Opens Vote on Lending Upgrade With Mainnet Activation Pending

The XRP Ledger has opened validator voting on LendingProtocolV1_1, an amendment that would expand its lending tools while leaving mainnet activation unconfirmed.

The proposal would extend the SingleAssetVault and LendingProtocol amendments with closed-ended vaults and cash-basis accounting. It was included in xrpld version 3.4.0, released Sept. 17.

Closed-ended vaults would move through subscription, investment and redemption phases. Deposits and withdrawals would be restricted during the investment phase, when assets may be committed to loans.

Cash-basis accounting would record interest as income when borrowers make payments. That differs from recognizing income when a loan originates.

Activation requires support from more than 80% of trusted validators for two continuous weeks. If support drops to 80% or below, the waiting period starts again.

The amendment’s default vote in the latest stable release is listed as “No.” Its amendment ID is A360E2BFD775A5B0DCE1C36C16DF31B72735A57584FD163655D2F9564F8E7AC8.

The proposed system would use Single Asset Vaults to combine one asset from multiple depositors. The Lending Protocol is designed for fixed-term, uncollateralized loans, while lenders, brokers or other participants would handle underwriting and risk management outside the ledger.

A successful vote would establish lending infrastructure rather than confirm that a live mainnet lending market already exists. The proposal also does not establish current loan volume, user numbers or an activation date.