XRP Ledger Hits Milestone: XAO DAO Declares True Decentralization Achieved
The XRP Ledger just leveled up—XAO DAO claims it's finally decentralized enough to make Bitcoin maximalists sweat.
No more training wheels? The once bank-friendly blockchain now runs on pure community power, according to its builders. Validator nodes now outnumber Coinbase's customer support tickets—take that as you will.
Finance jab: Wall Street still won't care until they can tokenize a suburban McMansion.
TLDR
- The XRP Ledger is entering a new phase of decentralized governance with the planned launch of XAO DAO.
- XAO DAO will use XRP for voting and governance instead of creating a new token to avoid confusion and volatility.
- The DAO will offer funding opportunities to developers, validators, startups, academic institutions, and creative initiatives.
- Active wallet addresses on the XRP Ledger have risen significantly, reflecting growing adoption and user engagement.
- A new EVM-compatible sidechain is set to launch later this year to expand the XRPL ecosystem into advanced DeFi.
The XRP Ledger (XRPL) is preparing for a shift in decentralized governance with the planned launch of XAO DAO. The initiative introduces a new model for decision-making and funding that prioritizes community participation and utility. With the full launch expected by late summer, XAO marks a major milestone in XRPL’s governance roadmap.
XAO DAO to Introduce New Governance Framework
XAO DAO will serve as the first decentralized autonomous organization built specifically for the XRP Ledger ecosystem. It will allow users to participate in governance by voting on proposals and funding initiatives using XRP. The DAO’s design excludes a new token to maintain clarity and reduce market-driven speculation.
The organization aims to establish a transparent structure for engaging contributors, developers, and validators in project decision-making. By using XRP for all governance functions, XAO streamlines participation and eliminates the risks associated with new token launches. This approach ensures that the governance process remains focused on long-term growth.
🧵 𝗜𝗻𝘁𝗿𝗼𝗱𝘂𝗰𝗶𝗻𝗴 𝗫𝗔𝗢 𝗗𝗔𝗢: A New Era of Decentralized Innovation on XRPL
XAO DAO is not just another DAO—it’s a next-gen governance engine built for the XRPL that empowers members to participate, vote, build, and fund real-world innovation.
Here’s how it works—and… pic.twitter.com/9wYMlNwuHM
— XAO.DAO (@XAODAOLLC) June 17, 2025
Community members will gain direct access to funding programs supporting ecosystem expansion and real-world blockchain applications. XAO will provide grants to startups, technical builders, academic researchers, and creatives. The DAO also intends to support branding, regulation-focused outreach, and public policy engagement.
Growth of XRP Ledger Ecosystem Fuels Launch
The timing of XAO aligns with recent activity increases on the XRP Ledger across various sectors. Over recent months, the network has added five fiat-backed stablecoins and tokenized US Treasury instruments. Institutional use cases and token adoption have steadily expanded.
An upcoming ethereum Virtual Machine-compatible sidechain will further broaden XRPL’s decentralized finance functionality. This will allow developers to build more complex smart contracts and dApps within the XRPL environment. As a result, XRPL is evolving beyond payments into full-featured blockchain use.
On-chain data reflects this transition, with active wallet addresses now exceeding 295,000 from a previous average of 40,000. The sharp rise in user engagement demonstrates growing interest in the network’s expanding use cases. However, it has also led to increased visibility for unverified and low-quality projects.
XAO is expected to introduce structured oversight to counteract scams and unverified projects entering the ecosystem. Participants will guide the ecosystem’s direction through community-led voting and funding decisions. This model aims to promote responsible growth while maintaining security and transparency.