diff --git a/boot/bootutil/include/bootutil/caps.h b/boot/bootutil/include/bootutil/caps.h
index aa288b1..4452897 100644
--- a/boot/bootutil/include/bootutil/caps.h
+++ b/boot/bootutil/include/bootutil/caps.h
@@ -50,6 +50,7 @@
 #define BOOTUTIL_CAP_BOOTSTRAP              (1<<14)
 #define BOOTUTIL_CAP_AES256                 (1<<15)
 #define BOOTUTIL_CAP_RAM_LOAD               (1<<16)
+#define BOOTUTIL_CAP_DIRECT_XIP             (1<<17)
 
 /*
  * Query the number of images this bootloader is configured for.  This
diff --git a/boot/bootutil/src/caps.c b/boot/bootutil/src/caps.c
index be06271..f44ab02 100644
--- a/boot/bootutil/src/caps.c
+++ b/boot/bootutil/src/caps.c
@@ -75,6 +75,9 @@
 #if defined(MCUBOOT_RAM_LOAD)
     res |= BOOTUTIL_CAP_RAM_LOAD;
 #endif
+#if defined(MCUBOOT_DIRECT_XIP)
+    res |= BOOTUTIL_CAP_DIRECT_XIP;
+#endif
 
     return res;
 }
diff --git a/sim/src/caps.rs b/sim/src/caps.rs
index 932b5ab..441494d 100644
--- a/sim/src/caps.rs
+++ b/sim/src/caps.rs
@@ -27,6 +27,7 @@
     Bootstrap            = (1 << 14),
     Aes256               = (1 << 15),
     RamLoad              = (1 << 16),
+    DirectXip            = (1 << 17),
 }
 
 impl Caps {
@@ -44,7 +45,7 @@
     /// Query if this configuration performs some kind of upgrade by writing to flash.
     pub fn modifies_flash() -> bool {
         // All other configurations perform upgrades by writing to flash.
-        !Self::RamLoad.present()
+        !(Self::RamLoad.present() || Self::DirectXip.present())
     }
 }