The ijaaza you are talking about is the Ijaaza of Isnaad or asaneed or chains of narrations.
Yes it literally goes back to the Prophet and tis is how thorugh oyt the time and untill the day of judgemnet the Authentic n true will be diffreniated from the fabricated false n weak.
Yes and ijaaza in the chain of narrations of quran not only goes back to The prophet sala lahu alihi wa sallam but It goes back to our Lord Subhanhu wa taala. Coz Allah revealed to jibreel alihi as salam who came to the prohet sala lahu alihi wa sallam from whom sahab learnd , so when the narration goes back it goes back to sahaba , prophet n jibreel and al the way to Allah subhanhu wa taala.
It is such a Sharf to have an ijaza of isnaad, same goes for ahadeeth , the chains of narration go from prophet to a saabi to other sahabas to tabeen to those who followed them to the scholars of hadeeth like bukhari to their students n their students till this day of ours , The people of hadeeth of our day and scholars , who gave Ijaza to narrate from them to tehir students who can pass the ijaza of narrating to their students.
I will post a copy of an ijaza InshahAllah but i dont knwo where to host the pic , i will have it scaned just so u get an idea what it says , but to understand the sciance of narrations , Assaneed or isnaads one will need to look at the great books of isnaads n books of scholars who Narrate hadeeths to see how it goes from this scholar ALL te way back to the Prophet sala lahu alihi wa sallam ina continued KNOW chain of Know and trustworth people , and in case of Quran All the way bakc to Allah subhanhu wa taala.