Perpetual Settlement Layer

Definition ∞ Perpetual Settlement Layer is a foundational blockchain or protocol designed to provide continuous, irreversible finality for transactions and asset transfers without temporal limitations. Unlike systems with periodic settlement windows, a perpetual settlement layer ensures that once a transaction is confirmed, it is immediately and permanently recorded. This constant finality is critical for maintaining high liquidity and trust in decentralized financial systems. It serves as an always-on, definitive record keeper.
Context ∞ The concept of a perpetual settlement layer is central to news reports on the architecture of major blockchains like Ethereum and the development of new Layer 1 protocols. Discussions often focus on its importance for global financial systems and the integrity of digital asset markets. Any advancements or challenges related to achieving robust, perpetual settlement are closely watched as indicators of blockchain technology’s long-term viability.