XRPL Prepares XLS-86 Firewall for Protocol-Level Security

• XLS-86 Firewall adds time and value-based restrictions on outgoing XRP transactions.
• The upgrade includes whitelist features and warnings to stop scams targeting XRP holders.
• Validator Vet calls XLS-86 an “endgame for fraudsters” if approved by XRPL governance.

Developers of the XRP Ledger are preparing the XLS-86 Firewall, a major protocol-level security upgrade designed to protect users from scams and unauthorized transfers. Announced by validator Vet, the proposal introduces structural defenses that are embedded directly in the ledger. If adopted through the amendment process, the firewall would give XRP holders stronger control over transactions, thus preventing scams. 

Defense Against Scams

According to Vet, the XLS-86 firewall is an in-protocol security layer that enables account holders to set restrictions on outgoing transactions through time-based delays or value thresholds. This approach ensures that even if private keys are compromised, attackers cannot drain accounts immediately.

The amendment also introduces a whitelist function, allowing trusted addresses to bypass restrictions for routine activity. This feature balances stronger defenses with user convenience, making it more accessible than traditional multi-signature protections. 

David Schwartz, Ripple CTO, recently flagged fraudulent airdrops targeting XRP holders. Developers expect wallets, exchanges, and node operators to integrate the firewall by flagging risky addresses, blocking flagged activity, and issuing user warnings, and future upgrades may incorporate machine learning to detect scam patterns. This is a notable change from fragmented tools such as XRplorer databases, which have historically operated outside the core protocol.

XRPL 2.5.0 Structural Security

The firewall proposal follows Ripple’s launch of XRP Ledger version 2.5.0 in June 2025, which focused on enterprise adoption. That update introduced XLS-85, enabling escrow to support third-party-issued tokens such as stablecoins. 

This adjustment opened the network to broader integration with banking and corporate systems. Another feature, XLS-56, reduced transaction failures by enabling up to eight instructions within a single command. These changes increased institutional efficiency while supporting XRPL’s appeal as a settlement network. 

Payments reached record highs during this period, coinciding with Ripple’s ongoing legal progress with the U.S. Securities and Exchange Commission. Alongside XLS-85 and XLS-56, a credentials amendment also became active. 

Announced by validator Vet, the feature allows credentials such as KYC and AML checks to be issued and verified directly on-chain. This system reduces repeated compliance processes while maintaining privacy protections, aligning with Ripple’s focus on tokenization and institutional readiness.

Related: Ripple’s XRP Ledger Recovers After Unexpected Network Halt

Market and Community Implications

Vet described XLS-86 Firewall as a potential “endgame for fraudsters,” showing strong interest in reducing recurring losses from scams. If approved, the amendment would require two weeks of 80% validator support to become permanent under XRPL’s governance system.

The firewall introduces multiple protective layers, from automatic flagging of fraudulent addresses to wallet warnings and shared blacklists across exchanges. Developers have also suggested including human verification processes for complex cases to minimize false positives. 

Together, these mechanisms could create a unified framework where security becomes embedded within the ledger itself, not scattered across external services. For XRP users, the optional opt-in model allows flexibility. Casual investors can activate basic rules, while enterprises can enforce stricter parameters. 

This adaptability could extend protection not only to XRP tokens but also to NFTs and other assets operating on XRPL. The urgency of such measures was noted earlier this year by a compromised xrpl.js package, which revealed vulnerabilities across the ecosystem despite being quickly patched.

The XLS-86 Firewall enhances XRP Ledger by embedding customizable safeguards directly into the protocol. From time-based restrictions to whitelist mechanisms and machine learning potential, the system introduces multiple layers of protection. 

With development discussions ongoing and Ripple engineers linking upgrades to institutional readiness, the firewall shows how decentralized networks can adopt structural defenses. Its adoption would consolidate scam prevention into a single framework, a decisive step toward improving security across permissionless blockchains.

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