Capital Market Infrastructure

Definition ∞ Capital Market Infrastructure refers to the fundamental systems and networks that enable the issuance, trading, and settlement of financial securities. In the digital asset space, this includes blockchain networks, decentralized exchanges, and smart contract platforms that facilitate these functions. It comprises the technological and procedural components supporting investment and capital formation. This infrastructure underpins the allocation of funds within an economy.
Context ∞ The ongoing discussion surrounding capital market infrastructure in the context of digital assets centers on its potential for greater efficiency, transparency, and accessibility compared to traditional systems. A key debate involves the regulatory harmonization needed to integrate digital asset infrastructure with existing financial frameworks. Critical future developments include the widespread adoption of tokenized securities and the establishment of robust, interoperable blockchain-based financial networks.