XRP Ledger developers tighten the rules for who can hold 'restricted' tokens
Source: CoinDesk ·
From the source
A set of fixes would tighten who can hold permissioned tokens on the network. The XRP Ledger Foundation says no users were affected. Some tokens on the XRP Ledger are only supposed to sit in accounts their issuer has approved, and developers have found a few ways around that rule. Issuers of regulated assets, such as stablecoins or tokenized funds, can require approval before anyone holds their tokens, often so they can run identity checks first. That approval sits on the so-termed trust line, or the connection an XRP Ledger account sets up to hold a token issued by someone else. Four proposed code changes , updated this week, would close the remaining exceptions. All four are bundled into a single network upgrade called fixCleanup3_5_0, and none has been activated on mainnet. One proposal would require approval for both tokens in a trading pool before an account can buy into it. These pools, called automated market makers, trade tokens automatically, and a share in one is itself a…