The XRP Ledger is set to activate Permissioned Domains on February 4 after more than 91% of validators approved the XLS-80 amendment.
The upgrade introduces credential-gated environments on the public XRPL, allowing regulated institutions to operate within controlled domains without building separate private blockchains.
“This approach aims to bridge the gap between the transparency and security benefits of decentralised blockchain technology and the regulatory requirements of traditional financial institutions,”
The proposal states.
Permissioned Domains are built on the XLS-70 credentials framework and are designed as foundational infrastructure for future features such as permissioned decentralised exchanges and regulated financial applications.
The rollout comes during a weak period for XRP, which has fallen about 16% over the past week amid a broader crypto market downturn.
Analysts say the upgrade is unlikely to have an immediate impact on XRP’s price, as it does not alter token supply, fees or demand mechanics.
Any upside for XRP is expected to be indirect and dependent on whether institutional adoption follows, increasing on-chain activity and long-term network usage.
At the time of reporting, XRP price was $1.60.