XRP Ledger Unlocks Token Escrow, Expanding Enterprise Blockchain Use Cases

The XRP Ledger (XRPL) has taken a major step forward with the launch of Token Escrow (XLS-85) on its mainnet. This upgrade expands escrow functionality beyond XRP, making the blockchain more flexible for businesses and institutions. RippleX, the development arm behind the ledger, confirmed the change this week.

Previously, escrow was limited to XRP transactions. Now, nearly all assets issued on the XRPL—including trustline-based tokens and Multi-Purpose Tokens—can be locked on-chain. This built-in feature simplifies token management by allowing secure vesting, automated grants, and institutional finance applications.

The upgrade also supports digital rights use cases, such as conditional payments or time-locked asset transfers. Each escrowed real-world asset requires a small reserve of 0.2 XRP to stay on the ledger, ensuring network efficiency.

By integrating escrow for tokenized assets, the XRPL strengthens its position in institutional decentralised finance (DeFi). The change makes the ledger more enterprise-ready, offering built-in security for transactions without relying on external smart contracts.

The XLS-85 upgrade brings escrow to a wider range of assets on the XRPL. Businesses can now lock tokens directly on the ledger, reducing complexity in financial workflows. This move aligns the XRPL with growing demand for secure, automated asset management in blockchain-based finance.