• XLS-66D introduces untainted loans, opening new opportunities for XRP Ledger.  

  • Tokenizing real-world assets on the XRP ledger enhances liquidity for businesses.  

  • The update ensures XRP Chain meets European regulatory standards for crypto assets. 

The XRP Ledger  has received an important upgrade with the approval of the XLS-66D amendment. This update enhances XRPL’s ability to support institutional finance, tokenized assets, and multi-currency transactions. It introduces key features such as uncollateralized loans, new compliance measures, and more flexible loan structuring. As a result, XRP offers secure solutions that help bridge decentralized finance  with traditional finance, allowing institutions to confidently use the technology.

Uncollateralized Loans and Loan Flexibility

One of the standout features of the XLS-66D amendment is the introduction of free financing, thereby removing the need for traditional collateral in blockchain lending. This change opens up new possibilities for financial businesses to offer credit without requiring assets as security. Industries now have the ability to tailor loans to meet their specific needs, providing them more flexibility to offer diverse banking products. In doing so, XRP Ledger becomes an even more attractive option for blockchain-based lending solutions.

https://twitter.com/CollinBrownXRP/status/1857746372461580650

The flexibility in loan structuring is expected to encourage more innovation in the financial sector. Institutions can now create products that suit their unique requirements, which will likely lead to a wider variety of lending options. XRP Ledger is now positioned to handle a broader range of lending use cases, particularly in the credit market, where flexibility is key.

Tokenization of Real-World Assets

Another major feature of the XLS-66D amendment is the ability to tokenize real-world assets, such as receivables or leases. Tokenizing assets lets businesses issue credit against tangible assets, unlocking new opportunities to access liquidity. This process reduces the reliance on intermediaries and enables businesses to use blockchain technology to efficiently manage their assets.

With tokenized assets, companies can unlock capital more easily, providing businesses with a quicker and more secure way to manage their financial needs. These innovations are set to improve liquidity across markets while giving companies more control over their assets.

Compliance with EU Regulations

The XLS-66D amendment also brings a euro-pegged crypto asset that complies with the European Union’s Markets in Crypto-Assets Regulation . MiCA provides rules that ensure crypto assets are well-regulated and meet standards for consumer protection, supervision, and environmental safeguards. This regulation is aimed at reducing financial risks such as market manipulation and money laundering, making XRP Ledger more secure and attractive for European institutions.

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