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- XLS-85 is live on XRPL Mainnet, extending native escrow beyond XRP to Trustline IOUs and Multi-Purpose Tokens (MPTs).
- Each escrowed asset requires a 0.2 XRP owner reserve on-ledger, increasing XRP reserves as token escrow usage grows.
Token Escrow (XLS-85) is now live on the XRP Ledger mainnet, extending native escrow beyond XRP. It now supports Trustline-based tokens (IOUs) and Multi-Purpose Tokens (MPTs).
RippleX said the feature enables secure, conditional, onchain settlement for issued assets. That scope includes stablecoins such as RLUSD. It also covers tokenized real-world assets, such as bonds and commodities.
Before this activation, protocol-level XRPL escrow applied only to XRP. Projects that needed time locks for issued tokens often used custom logic. Some also relied on external tooling to manage conditional releases.
Token Escrow (XLS-85) is now live on XRPL Mainnet!
This feature extends native escrow functionality beyond XRP to all Trustline-based tokens (IOUs) and Multi-Purpose Tokens (MPTs).
From stablecoins like RLUSD to Real World Assets, the XRPL now supports secure, conditional,… pic.twitter.com/DNCJxZsoK2
— RippleX (@RippleXDev) February 12, 2026
XLS-85 updates existing escrow transaction types on XRPL. The change applies to EscrowCreate, EscrowFinish, and EscrowCancel. In addition, issuers keep control through issuer-level flags that must allow escrow.
CNF has previously noted that XRPL is building controlled DeFi through Credentials, Permissioned Domains, and a licensed DEX, powered by XRP.
Expanding Escrow Capabilities on XRPL
The upgrade supports structured token release schedules for teams and grant programs. Tokens can be locked with time conditions. They can also be released only after defined requirements are met.
The upgrade also supports automated transactions on-chain. That incorporates peer-to-peer token swaps conducted over the counter. It also promotes conditional payments paid after predetermined criteria have been met.
Native token escrow can also be used as an institutional finance workflow, locking collateral for defined periods. It can also support treasury controls and automated settlement steps tied to policy.
Digital rights and real-world asset applications are included as well. Tokenized licenses can be placed into escrow until terms are met. Content unlock models can also use conditional release on the ledger.
Each escrowed asset requires an owner reserve of 0.2 XRP to stay on the ledger. As a result, broader use of token escrow may increase reserve demand. That reserve applies per escrow object tied to the asset.
The feature arrives as more market participants test tokenized assets on public networks. XRPL has been adding tools aimed at regulated and enterprise use. With XLS-85 active, the network now offers native escrow for a wider set of on-ledger assets.
XRPL has taken an institutional leap with Credentials, Permissioned Domains, and a Permissioned DEX designed for regulated access to on-ledger liquidity. As we reported, Permissioned Domains are live under XLS-80, and Permissioned DEX has received validator support to activate this month.
At press time, XRP trades at $1.36, down 2% in the last 24 hours, with a trading volume of $2.65 billion.
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