Developers of the XRP Ledger are updating the protocol's upcoming lending feature before its official launch. The team introduced a second amendment, LendingProtocolV1_1, to address issues identified in the original proposal, LendingProtocol, which is currently awaiting validator approval.
The network requires amendments to receive support from at least 80% of trusted validators over a two-week period to activate. By bundling both the original proposal and the new patch as requirements, the developers aim to ensure the feature is functional upon deployment rather than fixing it post-launch.
The lending protocol is designed for institutional-style credit, utilizing off-chain underwriting and first-loss capital instead of standard DeFi collateral models. It includes compliance tools that allow issuers to freeze accounts or recover funds. This proactive patching follows the recent discovery of a long-standing bug in the payment engine that could have enabled the creation of counterfeit XRP.
