Definition ∞ Capital markets integration describes the process of incorporating digital assets and blockchain technology into established global financial markets. This involves creating compliant pathways for traditional financial institutions to access, trade, and manage digital assets, often requiring regulatory clarity and specialized infrastructure. The objective is to bridge the divide between conventional finance and the decentralized economy, facilitating greater liquidity and institutional participation. This process includes the development of regulated investment products and secure custody solutions.
Context ∞ Capital markets integration for digital assets is a dominant theme in financial news, with regulators and institutions working to establish clear guidelines. A key debate centers on the appropriate regulatory classification of various digital assets and the development of robust market structures. Future developments will likely involve the issuance of tokenized securities and the expansion of regulated digital asset exchanges.