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Institutional Finance Rails

Definition

Institutional finance rails are the established technological and procedural pathways used by large financial institutions for transactions. These rails comprise the secure networks, protocols, and legal frameworks that facilitate high-volume, high-value financial operations, including interbank transfers, securities trading, and derivatives clearing. In the context of digital assets, these rails are being adapted or newly constructed to enable institutional participation in crypto markets. Their purpose is to ensure compliance, security, and efficiency for sophisticated financial entities.