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XRP Ledger Upgrade Targets Institutional Custody with On-Chain Multisig

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A proposed upgrade to the XRP Ledger (XRPL) is aiming to modernize multi-signature transactions and improve institutional custody. The proposal, called 'On-Chain Cosigner,' was submitted to the XRPL Standards repository by Shawn Xie, Zhiyuan Wang, Chenna Keshava B S, and Mayukha Vadari.

The upgrade would allow signers to coordinate and collect multi-signature approvals directly on the ledger, eliminating the need for external communication channels and centralized coordinators. This is a significant improvement over the current implementation, which relies on off-chain coordination processes.

According to Vet, a prominent XRPL community member, the proposal addresses one of the biggest shortcomings of the existing multisignature implementation: 'On most chains and currently on the XRPL, multi-signers need to coordinate and collect signatures off-chain or with smart contracts. This adds native on-chain multi-sig coordination, completely decentralized.'

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