The XRP Ledger has activated Token Escrow (XLS-85) on mainnet on Feb. 12, extending its native escrow functionality beyond XRP to include trustline-based issued assets (IOUs) and Multi-Purpose Tokens (MPTs). The amendment, introduced with the rippled v2.5.0 release, went live with 88% validator approval (30 of 34).
Amendment details
Token Escrow (XLS-85) is an XRP Ledger Standard that broadens the network’s built-in escrow mechanics to more asset types. Previously available for XRP, escrow can now be applied to IOUs—tokens issued by gateways and other entities via trustlines—and to MPTs.
The change was enabled through the XRP Ledger’s amendment process, which relies on validator consensus to activate new features on mainnet. According to the network, 30 out of 34 validators supported the change at activation.
What Token Escrow enables
Escrow on XRP Ledger allows assets to be locked on-ledger and released only when specified conditions are met, such as a time lock or fulfillment of predefined criteria. Extending this capability to IOUs and MPTs enables:
- Time- or condition-based transfers for a broader range of assets
- Structured distributions such as vesting, airdrops, and rewards
- Payment holds for marketplaces and service agreements
- Reduced counterparty risk for issued assets
Why it matters
By standardizing escrow across XRP, IOUs, and MPTs, XLS-85 enhances asset management and settlement options for issuers, developers, and users on the XRP Ledger. The feature brings more predictable, on-ledger controls to token-based workflows without relying on external systems.
Availability and compatibility
XLS-85 ships with rippled v2.5.0, the reference server implementation for XRP Ledger. With mainnet activation complete, ecosystem participants using compatible software can integrate token escrow into applications and issuance programs that leverage IOUs and MPTs.