XRP Ledger’s New Lending Protocol Version Is Now Open For Validator Voting
The XRP Ledger’s new LendingProtocolV1_1 amendment is now ready for validator voting, which will give XRPL network validators a crucial upgrade for XRPL lending. The vote will be crucial to the rollout of lending on the XRPL mainnet, as it will be followed by a number of other amendments to the LendingProtocol and SingleAssetVault, RippleX said.
RippleX Opens New XRP Ledger Lending Protocol Version Vote
RippleX wrote on X, “LendingProtocolV1_1 is open for validator voting.” The company added, “It introduces closed-ended vaults and cash-basis accounting for XRPL lending, and it must activate before LendingProtocol and SingleAssetVault can proceed.”
Meanwhile, developer of RippleX Shota Natenadze explained the proposal in a Sept. 30 forum post. He explained that there are three amendments required for Lending Protocol to go live on the XRP Ledger mainnet.
Natenadze wrote, “LendingProtocol is the base lending engine: loan brokers, loan origination, repayment, default handling, and first-loss capital.”
The vote applies as such to changes that are within the proposed lending architecture on XRPL.
What Has Changed In This Amendment?
In addition to the already existing open-ended vaults, LendingProtocolV1_1 would add closed-ended vaults on XRP Ledger. The closed ended version would go through subscription, investment and redemption stages.
LendingProtocolV1_1 is open for validator voting.
It introduces closed-ended vaults and cash-basis accounting for XRPL lending, and it must activate before LendingProtocol and SingleAssetVault can proceed.
Validators, read what changes and why it matters as you evaluate the…
— RippleX (@RippleXDev) September 30, 2026
Natenadze stated, “Closed-ended vaults avoid this by design: once the subscription window closes, no new shares can be minted, so there is no way to enter mid-term.”
The limitation is meant to solve a potential timing problem that could occur with an open-ended vault. Those vaults can be entered and exited at any time by users, and can have an impact on the distribution of gains to participants.
Another modification of the XRPL amendment is the recognition of loan interest. Natenadze explained, “LendingProtocolV1_1 changes this so that interest is only recognized as income when payments are actually made.”
He added, “This is a more conservative and accurate accounting model.” A vault’s AssetsTotal would then be the interest received, not scheduled future interest, with the proposed system.
LendingProtocolV1_1 activation will be based on the validator vote. The amendments for the LendingProtocol and SingleAssetVault must be approved before the launch of XRP Ledger lending on mainnet.
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