XRPL Code Update Proposed After $200,000 XRP Wallet Lockout

In a recent tweet, $XRP Ledger developer Wietse Wind shared a peculiar incident about an XRPL user with $200,000 $XRP who was locked out of his account after unknowingly creating a "nested Multi Sign" setup.

Wietse Wind recounts that on Aug. 15, 2025, in his Twitter DMs, a worried community member asked for help/advice. This user had $200,000 in $XRP in an XRPL account and set up multisign. He also set up multisign for the accounts he used for the initial multisign. Then came the error: unknowingly, he created a "nested multisign" setup.

While $XRP Ledger allows one to configure such a thing, it creates a condition that can never be resolved: even with access to the secrets belonging to nested multisign accounts, XRPL will never accept the signatures because of the nested condition.

Wietse Wind pointed out that this cannot simply be fixed at XRPL Labs since code is law and the XRPL code happens to allow for setting up a condition where one is locked out of one's wallet. This leaves the only option for resolving the issue to be an amendment.

Amendments represent new features or other changes to transaction processing. Bug fixes that change transaction processes also require amendments.

After these changes are introduced as amendments, validators then vote on them. If an amendment receives more than 80% support for two weeks, it passes.

Nested multisign amendment submitted

After discussing with bright minds in the $XRP Ledger ecosystem and then coding, Wietse Wind reveals that an amendment that allows for nested signatures was born.

The nested multisign amendment introduces nested multisignature validation, allowing signer lists to delegate signing authority to other accounts that themselves have signer lists.

Wind informs readers that this amendment has now been submitted to the rippled/XRPL code base. With this code change, merged into a future release by RippleXDev and voted in by validators, the said user with $200,000 $XRP can gain access to their funds again.