The XRP Ledger (XRPL) released version 3.2.1 after developers identified a security issue affecting some network nodes on July 31, 2026. XRP Ledger Operations announced the update to address a manifest flood issue that allowed unnecessary validator data from unknown keys to accumulate on affected nodes. Ledger operations continued without interruption during the incident.
The latest XRPL update changes how nodes handle validator manifests linked to unknown validator keys. Earlier software accepted, stored, and shared an unlimited number of unknown manifests, allowing unnecessary data to build up and consume extra resources on affected nodes, even though ledger operations continued without interruption.
Developers also removed persistent storage for manifests tied to unknown validator keys, preventing unwanted data from remaining on a node after a restart. Alongside the release, developers instructed node operators to install XRPL 3.2.1, wait one to two minutes, confirm that xrpld is running correctly, and then restart the software once more to complete the update.
New Limits Reduce Unwanted Validator Data
Developers described the July 31 incident as a manifest flood connected to the handling of validator manifests from unknown validator keys. Validator manifests help identify and manage trusted validators across the XRP Ledger. The unlimited acceptance of unknown manifests created an opening for unnecessary data to accumulate on affected nodes.
XRPL 3.2.1 adds four protections aimed at reducing similar incidents. The software now rejects validator manifests that exceed expected size limits. Another change limits the number of incoming batches of manifests a node can process at one time, reducing the chances of excessive data arriving in large volumes.
The update also restricts how much manifest data can be shared with newly connected peers and limits cached manifests to no more than 100 unknown validator keys. Developers said the changes reduce unnecessary data while preventing information from unknown validator keys from overwhelming network nodes.
XRPL Growth Continues Alongside Institutional Interest
The software release came as the XRP Ledger continued to expand. The network added 489,739 new accounts during the first half of 2026, increasing from 7.91 million to 8.40 million accounts. Total accounts later climbed above 8.42 million in July, setting a new all-time high.
Meanwhile, on-chain data showed XRP balances on exchanges falling to a seven-year low, while spot XRP exchange-traded funds recorded about $1.49 billion in cumulative inflows. Ripple also introduced Ripple Mint, allowing enterprises to issue and manage RLUSD on the XRP Ledger.
Institutional Activity Expands Across XRPL
Institutional use of the XRP Ledger continued beyond payment services. Insurance company Aviva selected the XRP Ledger for a tokenized liquidity fund, adding another real-world asset use case to the network.
Developers are preparing tokenized shares of companies, including Tesla, NVIDIA, and SpaceX, on the XRP Ledger, while XRP and RLUSD are also being used for AI agent payments. The XRPL 3.2.1 release addressed the manifest flood issue as network activity continued to reach record account levels during 2026.

