XRP Ledger developers propose four fixes to close restricted token loopholes

The fixCleanup3_5_0 amendment would stop restricted tokens from reaching unapproved accounts, but validators still have to sign off XRP Ledger developers want to close a set of loopholes that let restricted tokens end up in accounts that never got the issuer’s blessing. The fix comes as four code changes bundled into a single network upgrade amendment called fixCleanup3_5_0. It is still a proposal, and it goes nowhere until the network’s trusted validators vote it in. Nobody appears to have been hurt. The XRPL Foundation describes the work as routine protocol hardening, with no reported user impact and no sign of outside exploitation. What the four changes actually do The proposals target three areas of the ledger: trust-line management, automated market maker (AMM) pools, and the consistency of transaction checks across the network. On the XRP Ledger, holding a token other than XRP runs through a trust line, a kind of standing relationship between an account and the token’s issuer. Issuers can restrict their tokens so only accounts they approve can hold them. Those side doors allowed certain restricted tokens to move to accounts without explicit issuer approval. Developers traced ...