Regulated DLT

Definition ∞ Regulated DLT refers to distributed ledger technology platforms or applications that operate under specific legal and supervisory frameworks established by governmental authorities. These regulations aim to ensure compliance with financial laws, consumer protection, anti-money laundering (AML) standards, and data security requirements. The oversight provides a layer of legitimacy and stability, attracting traditional financial institutions to the digital asset space. It balances innovation with risk mitigation.
Context ∞ Regulated DLT is a central topic in crypto news, particularly as jurisdictions globally work to establish clear guidelines for blockchain adoption in finance. News reports often detail new licenses granted to DLT providers or the introduction of specific legal frameworks for digital securities. The ongoing debate involves striking a balance between fostering technological advancement and safeguarding market integrity and investor interests.