Financial Settlement

Definition ∞ Financial Settlement signifies the completion of a transaction where assets or funds are transferred between parties, finalizing an obligation. In digital asset markets, this refers to the immutable recording of a transaction on a blockchain, making the transfer of ownership permanent. It represents the definitive exchange of value, often occurring near-instantaneously on decentralized networks.
Context ∞ Financial settlement in crypto news is frequently discussed in relation to transaction speeds, finality, and the efficiency of various blockchain networks. The ability of decentralized ledgers to provide near-real-time, irreversible settlements without intermediaries represents a significant shift from traditional financial systems. This area remains a key focus for institutional adoption and the development of central bank digital currencies.