XRP Ledger Boosts Privacy with ZKP & Confidential Tokens
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Ripple is significantly enhancing the XRP Ledger (XRPL) with a new zero-knowledge proof (ZKP) roadmap, announced by J. Ayo Akinyele, Senior Director of Engineering. This multi-stage upgrade aims to introduce “programmable privacy,” enabling users and institutions to conduct transactions with enhanced confidentiality while adhering to global regulatory standards.
The first phase, expected within the next 12 months, will integrate ZKP technology to facilitate private and compliant transactions on XRPL. This allows businesses to protect sensitive financial data without compromising regulatory obligations, ensuring that transaction validity can be confirmed without revealing full details. The second phase, slated for 2026, will introduce Confidential Multi-Purpose Tokens (MPTs). These MPTs are designed to represent real-world assets like real estate, commodities, or company shares on the XRPL, crucially maintaining the confidentiality of sensitive ownership information. For instance, a bank could validate a transaction involving such assets without exposing complete details to competitors or the public. The MPT standard itself, which enables tokenized assets to exist natively on the ledger, officially went live on the XRPL mainnet in October 2025, with the confidential extension planned for 2026.
These advancements are tailored for financial institutions and businesses, positioning XRPL as a stronger, more compliant enterprise-grade platform. The flexible design allows users to choose how and with whom they share data, balancing transparency with security. Furthermore, Ripple is preparing a native lending protocol for XRPL Version 3.0.0, which will support decentralized credit, liquidity pooling, and direct borrowing, lending, and trading on the ledger. This comprehensive roadmap underscores Ripple's commitment to building a secure, regulation-ready network, making XRPL more appealing for institutional adoption by bridging privacy, compliance, and real-world asset functionality.
(Source: https://bitcoinist.com/ripple-privacy-upgrade-xrp/)
