XRP Ledger Launches Permissioned DEX For Regulated Institutions On Mainnet

TLDR

• XRP Ledger activates XLS-81 enabling permissioned decentralized exchanges.
• Permissioned DEX allows only verified accounts to trade on XRPL.
• Banks and brokers can access on-chain liquidity with full compliance.
• Each permissioned domain has separate order books and currency pairs.

The XRP Ledger has launched its Permissioned DEX on mainnet, allowing regulated institutions to trade securely on-chain. This upgrade uses Permissioned Domains to restrict access, enabling banks, brokers, and verified entities to participate in decentralized trading while meeting compliance standards like KYC and AML, bridging TradFi and blockchain markets.

XRP Ledger Activates Permissioned DEX on Mainnet

The XRP Ledger (XRPL) has activated XLS-81, a Permissioned DEX upgrade, on its mainnet. The feature allows regulated institutions to trade on the blockchain in a controlled environment. This builds on the recently introduced Permissioned Domains and maintains transparency and security on-chain.

The new framework enables financial institutions such as banks, brokers, and verified issuers to access on-chain liquidity while complying with regulatory standards. Trades are limited to participants within the same permissioned domain, creating a secure and compliant trading space.

Permissioned DEX and Domains

Permissioned DEXes are private marketplaces built on top of the XRPL native DEX. Unlike the open DEX, access is restricted to accounts approved within permissioned domains.

Each domain has its own order books and currency pairs. Trades cannot cross domains, ensuring that only verified and compliant participants can trade. Ripple noted that “these features provide institutions the ability to operate in a regulated environment without compromising blockchain efficiency.”

Institutional Adoption and Compliance

The permissioned DEX structure supports institutional adoption of the XRPL. It allows regulated entities to trade digital assets while using tools such as KYC and AML verification.

This step provides institutions with the ability to avoid fully open decentralized finance markets. By verifying credentials, institutions ensure they do not trade with unauthorized or non-compliant accounts.

Tokenized Assets and Secondary Markets

The XRP Ledger is increasingly hosting tokenized real-world assets (RWAs). Ripple and partners are using the network for tokenized fund products and U.S. Treasuries.

Permissioned DEXes can support secondary markets for RWAs or foreign exchange trading. Trades within these domains operate under full compliance controls, offering transparency without compromising regulatory standards.

Ongoing Upgrades

XRPL continues to implement upgrades focused on compliance and privacy. Features like Confidential Transfers are being developed to protect account balances and transaction amounts on-chain.

These updates aim to make the XRPL suitable for traditional financial institutions while supporting a regulated, on-chain trading ecosystem.

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