According to Lauren Berta, head of the Ripple stabilization currency product, a new function of XRP Ledger, called “Delegation of Authority”, is at the stage of the certification vote. If this feature is approved, the distribution, wind control and authority management of RLUSD along the chain, as well as other regulated tokens, will be closer to the existing business processes of the institution.

New function into voting

This function is derived from version 3.3.0 of xrpld released earlier this month. The version introduced XLS-75, a more detailed account authority commissioning mechanism.

According to Ripple, the current currency issuance account on XRPL usually has a number of key operations, including casting, freezing, recovery and trust line authorization. For regulated issuers, these efforts are often divided into different groups of compliance, operation and security.

Different teams can do it separately.

The design objective of the delegated authority is to allow the issuer to hand over specific operations to different accounts without relinquishing control of the main account, while reducing the risk of direct exposure to the core account.

  • Compliance teams can be responsible for freezing and recovery
  • The operation team can be found and destroyed.
  • KYC service providers can be responsible for the trust line authorization.

Each team could use its own key to perform the corresponding task without sharing the same issue account.

Different from multiple signature

Berta also stressed that the delegation of authority did not amount to multiple signatures. The focus of the additional signature is to obtain the co-approval of a transaction; the delegation of authority allows one account to perform a specific action on behalf of another account.

She summarized the distinction between the former, which was decentralized, and the latter, which was decentralized. For stabilizers, RWA monetizers and money managers who move controlled assets on the chain, the latter is better suited to address the parallel scenes of team division, compliance and security management.

Currently, this feature is still in the XRPL certifier voting process. At the same time, the RLSD team has been developing a testing network and testing capacity to prepare for subsequent launch.

Additional information:The flow of Ripple USD (RLUSD) has exceeded $2 billion, and its original management capacity on XRPL will be further enhanced if access is finally put on line.