XRP Ledger developers have published a follow-up amendment, LendingProtocolV1_1, to fix issues in the proposed lending protocol before it goes live. The original amendment is still awaiting validator approval, and no loans have been made through the feature. Both amendments are now listed as requirements; activation requires support from at least 80% of trusted validators for two weeks.
The proposed protocol would offer fixed-term, uncollateralized loans from pooled funds. It relies on off-chain checks of borrowers and a broker-funded “first-loss” buffer to absorb initial defaults, rather than automated on-chain collateral.
