Everything you need to know about one of the important waves Cryptocurrency scrgruppen

Turkish lire; Dr

  • The XLS-39 Clawback, part of the XRP Ledger version 1.12.0 release, allows asset issuers to “clawback” assets for account recovery or if fraudulent activity is suspected.
  • This feature has sparked controversy in the XRP community, with concerns about giving issuers excessive control and the potential for abuse.


Recovery: more security or a double-edged sword?

XLS-39 Clawback is a feature that seeks to add a new layer of control to the XRP Ledger token. Clawback is part of the XRP Ledger version 1.12.0 release, and will be an optional feature for asset issuers.

The Ripple development team proposed this feature in early September. On their official account These are still awaiting community validation.

But what can you do with Clawback? First, it allows you as an issuer to “reclaim” your assets from the token holder if any risky scenario arises. This happens in case of fraudulent activity or for account recovery when the user loses access to their account.

So, there are two main things you can do with this feature.

  1. Asset Recovery: If a token holder loses access to their account, the recovery feature returns control to the issuer as they are able to reassign the tokens to an alternative wallet. This prevents potential symbolic losses for both parties.
  2. Fraudulent activity: If the asset is equipped with a Clawback function, the issuer can take action by recovering funds from token holders if they suspect fraudulent activity coming from the other party.

This feature, as we mentioned, can be activated in transactions. Therefore, it should be considered one of the many instruments in the XRP Ledger stock. It is turned off by default, so users do not have to worry if their assets are recovered arbitrarily. However, it can only be activated for other issued tokens besides XRP.

However, the Clawback operation created a lot of buzz among the XRP community. Some people said this feature gave token issuers too much control over token holders, while others said it was a double-edged sword that would be exploited.

Special Offer (Sponsored)

Free Binance $100 (Exclusive): Use this link to sign up and get free $100 and 10% off Binance Futures in your first month (conditions).

PrimeXBT Special Offer: Use this link to register and enter code CRYPTOPOTATO50 to receive up to $7,000 on your deposits.

Cryptocurrency scrgruppen

Related Articles

Back to top button