Definition ∞ Real-World Asset DLT refers to the application of distributed ledger technology to represent and manage tangible or intangible assets from the physical world. This involves tokenizing assets like real estate, art, or commodities on a blockchain. The goal is to enhance liquidity, transparency, and fractional ownership. This approach bridges traditional markets with digital asset capabilities.
Context ∞ Real-World Asset DLT is a rapidly expanding sector within the digital asset space, attracting significant institutional interest. Discussions often center on the legal frameworks required to validate ownership and the technical standards for tokenization. Future developments will likely see a broader array of assets brought onto blockchain networks, democratizing access to various investment classes.
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