What the New Allowed DEX Means for XRP Users

The XRP Ledger just went live one of its most anticipated developments. According to XRPScan, the approved DEX amendment was enabled on February 18, 2026 at 10:58:10 AM UTC after 82.35% of validators voted in favor of it.
This is the second amendment to go live on the Ledger in less than a week, it follows activation of the Token Escrow Amendment (XLS-85). on February 12. XRP enthusiasts are excited about the development, as shown by various posts on the X social media site. However, what does Allowed DEX really mean for everyday users?
Dex Allowed is Greater than Simple Upgrade
Ripple fans and executives have repeatedly stated that the biggest obstacle to the adoption of decentralized exchanges is regulatory compliance. Without permission tools, I mean Ripple itself could not fully utilize certain functions of XRPL in controlled areas.
Allowed DEX is still a decentralized exchange, but with controlled access. A Permitted DEX is where anyone can trade freely, but the DEX creators limit participation to verified businesses. This means that banks, payment providers, and regulated financial institutions can use an Authorized DEX to trade, provide liquidity, and settle payments within an environment where all participants are known and authorized.

Established networks like Ledger are permissioned, meaning anyone can participate without the approval or approval of a gatekeeper. However, while that may sound nice, the reality behind this structure is that traditional financial institutions cannot work with open systems and unknown partners due to compliance, AML, and regulatory obligations. They must know who they are doing business with, maintain due diligence, and avoid exposure to illegal activities. Allowed space solves that problem without removing the basis of the ledger segmentation itself.
A booklet already has a built-in DEX function, Fast payouts, low fees, and fast execution. The new amendment adds a layer of compliance required by major financial institutions before investing large sums of money in the XRP ecosystem.
What Does This Mean For XRP Users?
Therefore, the introduction of Permissioned Dex to the XRP Ledger is another barrier to mass institutionalization removed. In accordance with an enthusiast known as Nick on social media X, a former market structure the bill was passed this year, then all other barriers to mass Ledger creation will be removed.
According to another analyst at X known as Stern Drew, this development is great because the authorized currency opens up institutional participation, a bridge that does not exist between traditional currencies and blockchain rails. This is expected to be reflected in the altcoin price action going forward.
However, i The analyst noticed that it may take some time for the institutions to release the funds used until there is a CLEAR LAW and DNAOnChain’s zk verification system goes live. However, the first authorized offering has already been created on the XRP DEX.
Featured image from Adobe Stock, chart from Tradingview.com
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