Proprietary DLT

Definition ∞ Proprietary DLT refers to a Distributed Ledger Technology system developed and controlled by a single entity or a consortium, rather than being open-source and publicly accessible. These systems are typically permissioned, meaning access and participation are restricted to authorized parties. They are designed to meet specific business requirements, often within enterprise settings, offering controlled environments for data sharing and transaction processing. Such DLTs provide tailored solutions for specific industries.
Context ∞ The state of Proprietary DLTs is characterized by their deployment in specific industry applications, such as supply chain management and interbank settlements. Key discussions address the balance between centralized control for governance and the benefits of distributed ledger immutability. A critical future development involves the potential for greater interoperability between different proprietary DLTs and with public blockchains, aiming for broader data exchange and network effects.