XRP Ledger Activates Native Token Escrow with XLS-85 Upgrade

Edgen Crypto

·Feb 13 2026, 07:05

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Key Takeaways

The XRP Ledger has implemented a significant upgrade, activating the XLS-85 amendment to introduce native escrow functionality. This enhancement is designed to improve the security and efficiency of asset settlements on the network, opening up new possibilities for developers and projects.

Protocol Upgrade Activated: The XLS-85 amendment went live on the XRP Ledger mainnet on February 12, 2026.
New Escrow Feature: The upgrade introduces native, on-ledger escrow for all Trustline-based tokens (IOUs) and Multi-Purpose Tokens (MPTs).
Expanded Use Cases: This functionality is expected to attract more development in DeFi and tokenization, enhancing the ledger's utility for secure, programmable asset transfers.

XRPL Enables Native Escrow with February 12 Upgrade

The XRP Ledger mainnet successfully activated the XLS-85 amendment on February 12, 2026, introducing a critical new feature for its token ecosystem. The upgrade enables native, on-ledger escrow services for all Trustline-based tokens, commonly known as IOUs, and the newer Multi-Purpose Tokens (MPTs). This function allows for the time-based or condition-based release of assets directly on the protocol layer, removing the need for more complex smart contracts for this specific purpose.

Upgrade Aims to Boost DeFi and Asset Tokenization

By integrating escrow functionality directly into the ledger, the XRPL aims to become a more attractive platform for decentralized finance (DeFi) and real-world asset tokenization. This feature provides a secure and efficient mechanism for programmable asset settlements, a foundational requirement for applications involving conditional payments and digital marketplaces. The enhancement could lower barriers for developers, potentially stimulating greater network adoption and increasing the overall utility of the XRP Ledger for a new range of financial products.