DLT Market Infrastructures

Definition ∞ DLT market infrastructures are the foundational systems and frameworks built using Distributed Ledger Technology to support financial market operations. These infrastructures aim to streamline processes such as trading, clearing, and settlement. They leverage blockchain’s immutable and transparent record-keeping capabilities. This modernization seeks to enhance efficiency and reduce operational costs in traditional finance.
Context ∞ The development of DLT market infrastructures is a prominent topic in financial news, particularly concerning their potential to transform capital markets. Discussions often center on pilot programs by central banks and financial institutions exploring tokenized assets and instant settlement. Regulatory bodies are actively evaluating how to integrate these novel systems while maintaining market stability and security.